market

Silver Leaf Park in the Santa Teresa area of San Jose - the proximity of parks will impact the Santa Teresa real estate market for that neighborhood

Silver Leaf Park in the Santa Teresa area of San Jose

How’s the Santa Teresa real estate market?  The scenic Santa Teresa area of San Jose is popular as it’s a bit more affordable but offers lovely views of the hills and public schools that seem to be improving over time, making the area more desirable.These positives seem to be helping that area to hold its value pretty well. Home prices are still up about 15% year over year. Prices popped back up a little bit this month, so it’s not a straight downward trend in Santa Teresa, as it is in many other parts of the valley.

Here’s quick view of the real estate statistic and trends for just the Santa Teresa area’s single family homes (houses / duet homes):

Santa Teresa real estate market stats & trends

Trends At a Glance Aug 2018 Previous Month Year-over-Year
Median Price $1,005,000 (+0.8%) $997,500 $875,000 (+14.9%)
Average Price $1,080,650 (+3.5%) $1,044,290 $896,360 (+20.6%)
No. of Sales 19 (-20.8%) 24 25 (-24.0%)
Pending 18 (-21.7%) 23 23 (-21.7%)
Active 32 (+39.1%) 23 (+540.0%)
Sale vs. List Price 101.2% (-5.1%) 106.6% 105.2% (-3.9%)
Days on Market 25 (+49.5%) 17 12 (+108.0%)
Days of Inventory 51 (+75.7%) 29 (+742.1%)

 

And last month:

 

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $997,500 (-9.4%) $1,100,500 $901,000 (+10.7%)
Average Price $1,044,290 (-4.8%) $1,096,510 $904,667 (+15.4%)
No. of Sales 24 (-40.0%) 40 27 (-11.1%)
Pending 23 (-20.7%) 29 20 (+15.0%)
Active 23 (-4.2%) 24 12 (+91.7%)
Sale vs. List Price 106.6% (-1.0%) 107.7% 104.9% (+1.6%)
Days on Market 17 (+8.4%) 15 13 (+29.8%)
Days of Inventory 29 (+65.2%) 17 13 (+115.6%)

 

And the month before:

You can read the Santa Teresa area real estate market report at this link if you’d like more details and statistical analysis. This particular page goes to the report for houses, but you can navigate home type to see condos/townhomes or any other area in San Jose, Santa Clara County, San Mateo County, or Santa Cruz County.

 Also, please note that zip codes don’t always relate to the districts. Zip code 95138 is a great example of that as part of it is in Santa Teresa and part in Evergreen (pricey and upscale Silver Creek). Pull up the averages for 95138 and you might think all the homes are selling for around $1.4 million. But if you look in the charming but more affordable Silver Leaf area of the same zip code, you’ll find the cost half as much – or less! So too with 95123 (though less dramatic) as about half of that is in Blossom Valley and part in Santa Teresa.
It’s good to do a lot of research, but beware the “easy answers” of price per square foot or average sales price per zip code. Often your best help will come from a highly experienced real estate professional who’s willing to help you to crunch the numbers for the Santa Teresa real estate market (boring grunt work but not actually difficult).
And don’t forget the condo market! This can be even more difficult to pin down because of the small amount of data and the wide variety of values.  Overall, it’s pretty much “holding steady” right now. The days of inventory is wonky because there were very few closings in July, and an explosive number of listings (and a huge number of pendings, also). Those pendings will close soon enough, so I would suggest ignoring the days of inventory this time.
Here’s a quick look at the current Santa Teresa condo market from the RE Report data:

Trends at a Glance for Santa Teresa Condos & Townhomes

Trends At a Glance Aug 2018 Previous Month Year-over-Year
Median Price $850,000 (-11.5%) $960,000 $688,000 (+23.5%)
Average Price $861,400 (-7.7%) $933,333 $653,857 (+31.7%)
No. of Sales (+66.7%) 3 (-28.6%)
Pending 16 (+60.0%) 10 16 (0.0%)
Active 11 (-21.4%) 14 (+450.0%)
Sale vs. List Price 102.6% (-8.7%) 112.4% 104.1% (-1.5%)
Days on Market (+52.0%) 5 (-6.7%)
Days of Inventory 66 (-52.9%) 140 (+670.0%)

 

And last month:

 

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $960,000 (+15.0%) $835,000 $748,942 (+28.2%)
Average Price $933,333 (+8.9%) $857,444 $700,814 (+33.2%)
No. of Sales (-66.7%) 9 12 (-75.0%)
Pending 10 (+233.3%) 3 13 (-23.1%)
Active 14 (+133.3%) 6 (+180.0%)
Sale vs. List Price 112.4% (+6.6%) 105.4% 102.6% (+9.6%)
Days on Market (-66.4%) 15 22 (-76.9%)
Days of Inventory 140 (+624.1%) 19 13 (+1,020.0%)

 

Disclaimers made, here are some Altos Research numbers for the four Santa Teresa zip codes:

Real Estate Market Chart by Altos Research www.altosresearch.com

You’ll note that one of the four zips is super high – this is 95138, which has a number of homes in The Ranch, a subdivision in Evergreen near Silver Creek. The part of 95138 which is in Santa Teresa is considerably more affordable, well under $1 million in the vast majority of cases. So let’s take that one out so we can get a better feel for the true pricing of Santa Teresa homes.

Real Estate Market Chart by Altos Research www.altosresearch.com

Here two of the zip codes seem to be on track with each other, but 95123 is going at a different pace. Half of that area is Blossom Valley, which tends to be a stronger market. Regardless, it would seem that overall, the median list price of homes for sale in Santa Teresa has gone from the mid 700 thousands to the mid 800 thousands over the last year, now hanging out close to the 900 mark. And that’s about what I have seen, anecdotally, too.

Santa Teresa homes for sale

Interested in buying a house, townhouse or condominium in the Santa Teresa area? Below, please check out a list of available properties, listed in order of most recently added to the MLS first. Or better yet, call or email me to discuss working together!

 

  1. 3 beds, 3 baths
    Home size: 1,377 sq ft
    Lot size: 1,054 sqft
  2. 5 beds, 3 baths
    Home size: 2,563 sq ft
    Lot size: 6,089 sqft
  3. 4 beds, 4 baths
    Home size: 2,205 sq ft
    Lot size: 1,690 sqft
  4. 5 beds, 3 baths
    Home size: 2,499 sq ft
    Lot size: 6,882 sqft
  5. 4 beds, 2 baths
    Home size: 1,575 sq ft
    Lot size: 8,611 sqft

See all Real estate in the Santa Teresa community.
(all data current as of 9/19/2018)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

Related Reading:

Leo or Leona - the mascot of Los GatosMost of the Santa Clara Valley is undergoing a cooling trend. With Los Gatos 95030 & 95032, though, it has not been a straight decline as in some areas, though the peak of the market was in March (think February sales with closings 30 days later).  Here are the current numbers, per my Los Gatos real estate report (click on the link for full information).

The Los Gatos Mountains are a distinctly different market and as such are covered in a separate market update, updated less frequently than here, but with live Altos charts for that area.

Los Gatos / Monte Sereno housing values and pricing trends (aka “area 16” for our MLS, zip codes 95030 and 95032) – month over month, it’s down 13.9%, and year over year, up 16.1%.

Los Gatos Trends at a Glance

Trends At a Glance Aug 2018 Previous Month Year-over-Year
Median Price $2,230,000 (-7.5%) $2,410,000 $2,297,500 (-2.9%)
Average Price $2,699,150 (+11.3%) $2,424,220 $2,742,170 (-1.6%)
No. of Sales 27 (-12.9%) 31 32 (-15.6%)
Pending 38 (+11.8%) 34 47 (-19.1%)
Active 61 (-18.7%) 75 52 (+17.3%)
Sale vs. List Price 101.1% (-0.8%) 101.9% 101.1% (0.0%)
Days on Market 35 (+38.0%) 25 43 (-18.4%)
Days of Inventory 68 (-6.6%) 73 49 (+39.0%)

 

And the month before:

 

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $2,410,000 (-13.9%) $2,800,000 $2,075,000 (+16.1%)
Average Price $2,424,220 (-14.5%) $2,834,730 $2,237,580 (+8.3%)
No. of Sales 31 (-20.5%) 39 38 (-18.4%)
Pending 34 (-20.9%) 43 29 (+17.2%)
Active 75 (+8.7%) 69 68 (+10.3%)
Sale vs. List Price 101.9% (0.0%) 101.9% 103.7% (-1.7%)
Days on Market 25 (+39.0%) 18 24 (+4.9%)
Days of Inventory 73 (+41.5%) 51 54 (+35.2%)

 

Bel Estos Drive near Carlton and Rosswood in San Jose's Cambrian areaMy Cambrian area of San Jose Real Estate Report was recently published with the updated numbers from the closed sales last month for this part of San Jose (95124 and 95118 with a little of 95008 too). Please click on the link above to see much more information there. Those charts are below.

First, though, I want to share some info that I pulled from the MLS last night. It does appear that Cambrian home prices have come down quite a bit since the peak of pricing in March.  For home sellers wondering why their properties aren’t selling as quickly, this may be helpful. Also it’s good info for those thinking of selling their houses or condos in this second half of 2018.

The very best way to know what the market is doing is to track the same house as it sells and re-sells. However, most home owners don’t move often, so that is not helpful to us. The next best method is to find very similar properties and track them. That would be such as all condos in a large development with approximately the same floor plan / size.

Cambrian often mimics the valley as a whole pretty well, so I thought I would pull up a representative sample from a hot segment of the market to get my own sense of how things are going. I pulled starter homes with Campbell Union High School District, zip code 95124, with 1000 – 1500 SF, 3-4 bedrooms and 2+ baths.

Here are the averages from March to today (updated Sept 7, 2018):

March 2018 (10 sales)  average price per SF $1,100.53  average sale price $1,429,612
April 2018 (15 sales)     average price per SF $1,138.75  average sale price $1,417,000
May 2018 (14 sales)      average price per SF $1,076.54  average sale price $1,375,643
June 2018 (10 sales)     average price per SF   $980.64  average sale price  $1,258,550 (steepest drop from the month before)
July 2018 (12 sales)       average price per SF   $974.35  average sale price  $1,232,958
August 2018 (9 sales)    average price per SF  $899.29  average sale price $1,176,522

That is a drop in the average sale price of $253,090 over 5 months for this group, or about $50,618 per month on average (though some months it is more or less). The data here uses a fairly small pool, so it may not be accurate for all parts of Cambrian, but it is an indicator of what the market is doing overall since this is a very in-demand segment of Cambrian.

If we input this into excel and ask it to generate a forecast through December (which assumes the same rate of change, which may NOT be true), it looks like this – sellers please note, THIS IS WHAT BUYERS ARE THINKING AS THEY WAIT TO BID:

Cambrian segment forecast as of Sept 7 2018

When I plunked the data into excel, it gave a range of possible values…and of course the actual range is myriad! Where do YOU think these values will be with December’s closings (revealed in January)? As low as $871k? As high as $1 million?

Cambrian specialty search forecast as of Sept 7 2018

Now I need to remind everyone that the market is often not a straight line. Let’s stop and take a look at the county’s sales (average and median prices) to get a sense of that. Although the general trend for the last few years has been upward, please see that there are MANY drops, particularly in the second half of each year.

Santa Clara County home sales and prices

As is evident, seasonally, the market does often flatten or decline somewhat in the second half of each year. The peak is most often in spring sometime. Very often, the peak is in March (again, that means sales the month before, which is February, and that means getting your house all ready in January).  So let’s say that the market does drop at the current rate, in January 2019, this hypothetical Cambrian home would be selling at about $886,000, prior to the possible spring surge in pricing. To get the lowest price means buying in December, not buying in January, most likely. But – December also typically has the lowest inventory, so not much selection. For that reason, if you like a home now, I would suggest buying that home now. Buying a home for yourself and your family is not like buying a stock. You are going to live in it, so you will want to like it. I have seen many buyers try to time the market and end up going through December since they hated what was available, and then they got caught buying in the spring madness, and they paid more.

But who knows if prices will rebound in early 2019 or not. Who knows if prices will continue dropping this year. Some years, we have seen drops followed by rapid appreciation. Last year, prices rose through December, confusing everyone. This could be the beginning of a correction, or it could be a seasonal cool down – a gift for wearing Cambrian home buyers.

If it’s the beginning of a correction, buying now does not make sense unless you plan to be in your home for 10 years or so. If it is a seasonal experience, or a blip, then buying this fall is a good idea, since the new year is very likely to see prices move back up.

Which is it? I do not know for sure. The CEO of my company thinks that prices will trail off for the rest of this year, and then return to their upward march in the spring of 2019 (think Feb – April). When I see the hiring, the Google expansion, I know that people have to live somewhere. It may be a standoff between sellers and buyers on price. My usual advice is simple: if you are ready to get on with your life, and you’re going to stay there 5 or 10 years, buying now most likely makes sense.

Trends at a Glance

Trends At a Glance Aug 2018 Previous Month Year-over-Year
Median Price $1,297,500 (+3.0%) $1,260,000 $1,152,000 (+12.6%)
Average Price $1,315,560 (+0.3%) $1,311,880 $1,182,770 (+11.2%)
No. of Sales 52 (-8.8%) 57 75 (-30.7%)
Pending 50 (-3.8%) 52 47 (+6.4%)
Active 75 (+7.1%) 70 25 (+200.0%)
Sale vs. List Price 103.4% (-1.6%) 105.1% 108.2% (-4.5%)
Days on Market 26 (+52.7%) 17 12 (+117.1%)
Days of Inventory 43 (+17.4%) 37 10 (+332.7%)

 

And the month before:

 

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $1,260,000 (-4.0%) $1,312,500 $1,140,000 (+10.5%)
Average Price $1,311,880 (-5.3%) $1,385,810 $1,178,450 (+11.3%)
No. of Sales 57 (-1.7%) 58 77 (-26.0%)
Pending 52 (0.0%) 52 61 (-14.8%)
Active 70 (+42.9%) 49 22 (+218.2%)
Sale vs. List Price 105.1% (-5.5%) 111.2% 107.9% (-2.6%)
Days on Market 17 (+39.4%) 12 19 (-11.0%)
Days of Inventory 37 (+50.4%) 25 (+329.8%)

Continue reading

How’s the Saratoga California real estate market?

Orchard and Hills in Saratoga, California

Orchard and Hills in Saratoga, California

This is a fairly comprehensive article on the Saratoga real estate market that will include the live statistics from Altos Research for listed properties (not closed) in Saratoga CA 95070, the closed sale data from the RE Report for last month in Saratoga 95070, and the numbers I crunched for Saratoga – overall and by price point and high school district, since Saratoga has 3 different high school districts, each with an impact on home values.

First, let’s consider the months of inventory by price point and high school district that I crunched using MLSListings.com, our local multiple listing service provider.

The months of inventory is a reference to how fast homes would be absorbed into the market if sales continued at the same pace and no new inventory came onto the market. It’s often referred to as “the absorption rate” – and that can be months of inventory, weeks of inventory, or days of inventory. A “balanced” market is somewhere around 4-5 months for us, though the National Association of Realtors says that 6 months is balanced nationwide. Anything under 3 is a good seller’s market, and under 1 is like saying that homes are “flying off the market.”

(For comparison, please also see a similar article on the Live in Los Gatos blog for the town of Los Gatos – real estate market by price point and high school district.)

For most of the valley, inventory is up, prices are down, days on market are up, and sale price to list price ratio is up. It’s still a seller’s market, but it’s softening. If it continues in this direction, it will become a buyer’s market – but is not there yet.

Here’s the chart for Saratoga – all price points, all school districts. Please notice that the months of inventory is about DOUBLE from four months ago. Translation: it’s twice as hard to sell now as it was in mid-April. At the same time, 3.15 months of inventory is still very decent! Also, though home prices can be quite high, the bulk of properties are under $3 million. It’s challenging to sell homes higher than that amount, overall.

 

2018-08-17 Saratoga MOI all areas

 

And from 4 months ago:

2a - Saratoga, CA, Real Estate Market Update

 

By comparing across school districts you can also see how different each area’s individual market can be. Saratoga with Saratoga schools is a little slower of a market. Why? Most likely because it’s a bit pricier than other areas. This area is about 50% slower than it was a few months ago. The overall MOI makes it seem like Saratoga with Saratoga Schools is a bit sluggish. That’s not really the case in most price points, but at $4 million and up, it is a buyer’s market.

 

Continue reading

The Monte Sereno real estate market is similar to Los Gatos, but distinct - Monte Sereno shares many features with Los Gatos but is a distinct cityHow is the Monte Sereno real estate market? Because the city is small, with just about 4000 residents, there usually are few homes listed for sale or selling, and with small numbers we can get seeming volatility. Last January, for instance, there was only one home listed and none sold!

There are no condominiums or townhomes in Monte Sereno at present (we are watching closely the proposed development at La Rinconada, which is unincorporated as of this writing). One of the major challenges for this city is to ensure that at least some housing units are deemed “affordable.” You can find the city’s housing plan here (a pdf online):
http://www.montesereno.org/DocumentCenter/Home/View/674

Recently closed home sales in Monte Sereno

Here are the quick statistics for the closed sales in the last complete month to give a sense of how things are going with the Monte Sereno real estate market. Sales data comes from my Monte Sereno Real Estate Report. Given that the supply of homes to study is tiny, what can we tell from this data?

It’s true that an average Monte Sereno house is about $2.5-3.5 million, and often higher in the current market – a little steep for most folks! With 11 active, 6 pending, and 4 sales this past month, low data makes it hard to get the most accurate market information. During times like this, it’s more important to look at the trends over multiple months than to base your understanding of the market off a single month, and to compare with similar, nearby markets such as Los Gatos.

Below are the charts from the last two months. Overall, the market is this part of the valley is mostly flat month over month, but up double digits year over year. (Oddly, this market has been heating up while most of the valley has been cooling!)

Trends at a Glance

Trends At a Glance Aug 2018 Previous Month Year-over-Year
Median Price $2,467,810 (-14.9%) $2,900,000 $3,562,500 (-30.7%)
Average Price $2,944,770 (-2.7%) $3,027,330 $3,755,000 (-21.6%)
No. of Sales (0.0%) 6 (+50.0%)
Pending (-16.7%) 6 (+25.0%)
Active (-33.3%) 6 (-20.0%)
Sale vs. List Price 96.7% (-3.6%) 100.3% 97.2% (-0.5%)
Days on Market 21 (-0.8%) 21 82 (-74.8%)
Days of Inventory 20 (-33.3%) 30 38 (-46.7%)

 

And a look at the data from the previous month for the Monte Sereno real estate market:

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $2,900,000 (-9.4%) $3,200,000 $2,950,000 (-1.7%)
Average Price $3,027,330 (-6.3%) $3,230,000 $3,373,000 (-10.2%)
No. of Sales (+50.0%) 4 (0.0%)
Pending (0.0%) 6 (+50.0%)
Active (-40.0%) 10 (-33.3%)
Sale vs. List Price 100.3% (+1.9%) 98.4% 101.4% (-1.1%)
Days on Market 21 (-6.4%) 22 70 (-70.1%)
Days of Inventory 30 (-58.6%) 73 45 (-33.3%)

Continue reading to view live Altos Research charts for the real estate market in Monte Sereno, including by pricing quartile. Continue reading

The Sunnyvale real estate market has been trending upward for many months. In general, houses in Sunnyvale are selling for about one million eight hundred thousand dollars – if they aren’t too small or in terrible shape (or conversely palatial or newly built or remodeled). Let’s begin with single family homes. The median list price for homes in Sunnyvale CA – by pricing quartile – interestingly, the high end homes are doing the best! (Live charts from Altos Research, which uses LIST prices, not sale prices.)

Sunnyvale real estate market: Altos Research, median list prices by quartile

Real Estate Market Chart by Altos Research www.altosresearch.com

What about the numbers for the closed sales? Now let’s have a look at the Sunnyvale CA RE Report for last month’s trends and statistics (click on link to get the full Sunnyvale real estate market report):

Sunnyvale Real Estate Market Trends at a Glance

Down a bit month over month, but still up nicely from last year.

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $1,900,000 (-5.5%) $2,010,000 $1,730,000 (+9.8%)
Average Price $1,873,190 (-4.2%) $1,956,120 $1,654,260 (+13.2%)
No. of Sales 44 (-18.5%) 54 59 (-25.4%)
Pending 50 (+31.6%) 38 40 (+25.0%)
Active 56 (+21.7%) 46 28 (+100.0%)
Sale vs. List Price 107.4% (-2.3%) 110.0% 111.0% (-3.2%)
Days on Market 15 (-16.2%) 17 18 (-19.0%)
Days of Inventory 38 (+54.6%) 25 14 (+168.2%)

 

And from June:

 

Trends At a Glance Jun 2018 Previous Month Year-over-Year
Median Price $2,010,000 (-0.3%) $2,016,890 $1,820,000 (+10.4%)
Average Price $1,956,120 (-2.6%) $2,008,840 $1,794,320 (+9.0%)
No. of Sales 54 (-23.9%) 71 62 (-12.9%)
Pending 38 (-19.1%) 47 52 (-26.9%)
Active 46 (0.0%) 46 17 (+170.6%)
Sale vs. List Price 110.0% (-5.3%) 116.1% 113.1% (-2.7%)
Days on Market 17 (+78.9%) 10 15 (+19.4%)
Days of Inventory 25 (+27.1%) 19 (+210.7%)

 

Yeowch! This market’s beyond hot – it’s scorching! The average sales haven’t cooled much since the last month with the average sales happening at 120.4% of list price. Properties are still flying off the shelves at 10 days on market.

What about the Sunnyvale condo and townhome market?

Continue reading

The Santa Clara County real estate market is cooling off, which is very often the case in summers here. It varies from place to place within the region, and one pricing tier to the next, but I am definitely seeing and hearing about fewer offers, more lowball offers, contingencies creeping back into sales, etc. In red hot properties with great schools, you might get a half dozen offers…and three of them may be “bad” offers from home buyers who are pessimistic on the market. They do not get the sale, of course, but it is interesting to hear about an increase in those kinds of bids.

My RE REport just came out, and here are some images and data from that for Santa Clara County. First, the market barometer. Here, you can see that sellers had stronger power in March than they do now – by quite a lot! (Click on the image to go to the report and see a clearer version of it.)

Graphic image - Santa Clara County market barometer.

 

Next, the average and median sale prices and the number of units (again, click on the image to go to the report). This graphic does not look as bad or as much of a change as the one before, though you can see that since May prices have gone down a little, and sales are now tipping downward and are fewer than sales for this time last year.

Graph of Santa Clara County home prices and sales

Next, the sale price to list price ratio is a bit more startling. Sales are still averaging about 1-05% of list price – so that is hard for sellers to complain about – however, it is unmistakable that the climate for home selling in Silicon Valley is undergoing a change and this is literally past its peak. Buyers and sellers alike need to wonder whether it will calm down or continue at the current rate of decline. Is it a buying opportunity, or the beginning of a correction?

Graphic of the Santa Clara County sale price to list price ratio

The numbers themselves point to a turnaround in the market. I’ll jot the median sale price for the county here – it’s a large enough pool of sales to be pretty reliable as a gauge of the real estate market in the San Jose area:

July 2018 $1,350,000
June 2018 $1,402,000
May 2018  $1,416,000
April 2018  $1,420,000
March 2018 $1,450,000 – PEAK
February 2018 $1,380,000
January 2018 $1,163,000

Between March and July, the median sale price dropped $100,000, or 6.89%. As you can see, it had also jumped considerably between January and March, and even at today’s lower median sales price, it’s still higher than January. It will be interesting to see where it ends up in January of 2019.

A quick look at the numbers for this month’s Santa Clara County RE Report:

Trends at a Glance

Trends At a Glance Jul 2018 Previous Month Year-over-Year
Median Price $1,350,000 (-3.7%) $1,402,000 $1,175,000 (+14.9%)
Average Price $1,624,690 (-5.1%) $1,712,500 $1,409,380 (+15.3%)
No. of Sales 847 (-13.3%) 977 1,015 (-16.6%)
Pending 924 (-0.6%) 930 931 (-0.8%)
Active 1,151 (+8.0%) 1,066 816 (+41.1%)
Sale vs. List Price 105.6% (-2.0%) 107.8% 105.5% (+0.1%)
Days on Market 19 (+13.7%) 17 20 (-6.7%)
Days of Inventory 41 (+28.8%) 32 24 (+69.0%)

 

It’s now August 10th and it’s too early to know for sure what the August numbers are doing, but normally August is a quiet month with sale prices a little off. So we’ll see. Continue reading

When it’s a hot seller’s market, like it is right now in Silicon Valley, it is challenging to be a home buyer.  That means it’s also hard to be a buyer’s agent, since it may require writing many, many offers (and a lot of time and energy) before the clients get into contract.  Since Realtors are usually only paid when a property closes, that means it’s not too hard to go broke if a real estate professional focuses a lot of time with buyers.   In other words, in a market like this, most agents would prefer to work with sellers rather than buyers, because it’s more likely that they’ll make a living.

Home buyers Realtors look for these traitsWhat can you do to increase the odds of finding a great Realtor who will take you seriously, work with you and for you, and give it a good effort even if it’s an uphill battle?  First, let’s understand what a real estate licensee is looking for a client – at least in most cases.  Usually, the savvy agent doesn’t want to waste time with people who are not serious, not ready, or who will not be loyal.  The smart Realtor knows that without these three things, it’s unlikely that they will be able to sell that person a home, or at least not in a reasonable period of time.

Serious home buyers:

Only about half of all home buyers will likely buy in the year they think they might, so it’s important for real estate professionals to try to make sure that they don’t spend months on someone only to have him or her remain permanent renters.  The agent must qualify the client to make sure it’s worth the risk of spending time with him or her.

Clues that the buyer isn’t serious include these:

(1) Comments like “I may have to look at homes for a year or two” or “I may need to write a hundred offers to get the right deal” or “I’m in no rush” indicate that this isn’t a big priority for the buyer (so maybe it shouldn’t be for the agent, either). This buyer is able, ready and probably also loyal – but not serious.  Some, though, will clarify with a time frame and this is a game changer. “My lease is up in July, so ideally, I’d like to get into contract in March, close in April and move in May.  But if I find the right house sooner, I’ll buy sooner.”  That works!

(2) If there are two decision makers, having only one do most of the house hunting and the other showing up at distant intervals often indicates that it’s a priority for one but not both.  Sometimes that’s not the case, but it is a red flag.  Both need to be serious. Continue reading

Morgan Hill land along the Uvas RiverHow’s the real estate market in Morgan Hill? This article will include data, trends and statistics for both houses and condominiums/townhouses.

For the single family home segment in this “south county” town, prices are up more than 20% year over year and flat month over month. The single family home and condo market are both seller’s markets, but it’s a lot deeper for houses than for condominiums or townhomes.

The cities of Morgan Hill and Gilroy are usually a bit less in demand than parts of Santa Clara County which are either tech magnets or closer to these big businesses. So while most of the Silicon Valley has a sale price to list price ratio of anywhere from 100% to 110%, it’s generally lower here, making the home buying conditions calmer for weary buyers, though still a sellers market. Below is a chart with basic info, but to see more information, you may click on this link to see the Real Estate Report for Morgan Hill.

Trends at a Glance for Single Family Homes in Morgan Hill

Trends At a Glance May 2018 Previous Month Year-over-Year
Median Price $1,100,000 (0.0%) $1,100,000 $887,500 (+23.9%)
Average Price $1,130,880 (+0.7%) $1,122,850 $908,325 (+24.5%)
No. of Sales 55 (+17.0%) 47 50 (+10.0%)
Pending 59 (-3.3%) 61 80 (-26.3%)
Active 54 (+17.4%) 46 76 (-28.9%)
Sale vs. List Price 104.3% (0.0%) 104.3% 100.4% (+3.8%)
Days on Market 31 (-31.0%) 45 15 (+102.9%)
Days of Inventory 29 (+3.8%) 28 46 (-35.4%)

 

And the numbers from last month:

 

Trends At a Glance Apr 2018 Previous Month Year-over-Year
Median Price $1,100,000 (+10.0%) $1,000,000 $760,000 (+44.7%)
Average Price $1,122,850 (-0.4%) $1,126,810 $838,204 (+34.0%)
No. of Sales 47 (+42.4%) 33 24 (+95.8%)
Pending 61 (-12.9%) 70 65 (-6.2%)
Active 46 (+31.4%) 35 80 (-42.5%)
Sale vs. List Price 104.3% (+0.5%) 103.7% 102.4% (+1.8%)
Days on Market 45 (+92.4%) 24 27 (+70.0%)
Days of Inventory 28 (-10.8%) 32 97 (-70.6%)

 

Continue reading

How are the key housing indicators in the Almaden Valley area of San Jose? At the moment it’s said to be a hot “seller’s market” overall.  But look closer and you can see that in the Almaden Valley housing market there are clear market micro-climates.  Prices are better for sellers, while buyers struggle with higher prices and less homes to choose from.  Recently we have seen a slight cooling, too – very welcome for Almaden home buyers.

Almaden Valley Housing Market: Inventory of Houses for Sale

Right now I have a few Almaden Valley home buyers and they have all been disappointed at the lack of inventory. What’s happening?

First, let’s see what “usually” happens in the 95120 zip code in terms of the number of houses for sale. Here’s a look at the last 10 years (all available history), care of Altos Research – you can see that it’s been rising since January 1st, but it’s a proverbial drop in the bucket:

Real Estate Market Chart by Altos Research www.altosresearch.com

Here you can see that inventory has regular peaks and dips. Inventory tends to rise early each year and peak in mid to late summer. After the peak is a decline through autumn and winter with the lowest point in the coldest part of the year before turning around again before spring.

Now let’s look up close at just the last 3 years. Again, inventory IS rising, so it’s betting a little easier for buyers, but still difficult compared to the last 3 years.

Real Estate Market Chart by Altos Research www.altosresearch.com

As usual, our inventory bottoms out in winter and then rises beginning sometime after the Super Bowl or perhaps a little later. Right now we are still in “rising inventory” mode in Almaden, so the market should be softening a little. Also, we are hearing of “buyer fatigue”, so in many cases there may be fewer offers than earlier in the spring. Continue reading

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Mary Pope-Handy
Realtor
ABR, CIPS, CRS, SRES
Sereno Group Real Estate
214 Los Gatos-Saratoga Rd
Los Gatos, CA 95030
408 204-7673
Mary (at) PopeHandy.com
License# 01153805


Selling homes in
Silicon Valley:
Santa Clara County,
San Mateo County, and
Santa Cruz County.
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Special focus on:
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Saratoga, Campbell,
Almaden Valley,
Cambrian Park.
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Santa Clara County Real Estate,
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Top 25 real estate blogs 2016
2016: Personal Income's list of top 25 real estate blogs.


Best Realtor blog award
2016: Coastal Group OC's list of best Realtor blogs


The 2009 Sellsius list of top 12 women real estate bloggers
2009: Sellsius list of top
12 women real estate bloggers


Mary Pope-Handy's Live in Los Gatos blog won the 2007 Project Blogger contest, sponsored by Inman News and Active Rain

2007: Mary Pope-Handy and Frances Flynn Thorsen win the Project Blogger Contest for Mary's Live in Los Gatos blog. The contest was sponsored by
Active Rain and Inman News.


Non blog award


Best real estate agent in Silicon Valley from the San Jose Mercury News poll of readers in 2011
"Best real estate agent
in Silicon Valley"

2011 readers' poll,
San Jose Mercury News

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