How is the Morgan Hill real estate market? Signals indicate it is an active seller’s market, but noticeably milder than other parts of the county. Overall the wild extremes of last spring are no more. Below are some quick points from our RE Report (link below).
- The average sale price for houses in August was $1,656,210 (+11.6% from the month before and +9.2% from a year ago)
- The median sale price for single family homes was $1,460,000 (-2.0% from the month prior and +8.2% from this time last year)
- The sales to list price ratio for homes shrank to 99.0% (-2.9% from the month before and -0.1% from last year).
- Days on market more than doubled month-over-month, averaging 34 days, which is almost a week slower than last year, but still a quick turnover.
It’s still a seller’s market with plenty of competition for the best homes.
See the Santa Clara County real estate market report (for comparison) here.
The Morgan Hill Real Estate Market
The cities of Morgan Hill and Gilroy usually experience a lower demand than other parts of Santa Clara County which are either tech magnets, closer to big businesses, or a quicker commute around the Bay Area. So if most of the Silicon Valley has a sale price to list price ratio of anywhere from 105% to 110%, it’s generally lower here, making the home buying conditions calmer for weary buyers, though still a sellers market.
Now let’s get into the data.
First up, the market profile from Altos Research – this is updated weekly, so check back often! You can also view the weekly newsletter through the link below, where you can also subscribe to receive this update every week in your inbox. Prefer a particular zip code instead? You can type in your desired zip in the “Search Anywhere” line and then request that particular weekly update by email.
Altos Research weekly report for all of Morgan Hill
Altos weekly report for 95037 only
Altos weekly report for 95038 only
Please note that Altos uses information on actively listed homes for sale, not closed sale data. If you compare the days on market of the active listings with the days on market of the sold properties, they will be different.
Trends at a Glance for Single Family Homes in Morgan Hill
Below is a chart with basic info, to see more click on this link to see the Real Estate Report for Morgan Hill.
Month-over-month August closed sales and active inventory have slipped, as has the sales to list price ratio, and while pending sales grew dramatically. Overall it looks like things may have cooled slightly, but with all those pending sales next month might tell a different story. No doubt it’s still a clear seller’s market, but compared to other parts of the county it’s easier for buyers to get their foot in the door here in south county.
Looking year-over-year, the market is looking fairly similar to what it was in 2022, but with higher prices, fewer available listings, and far fewer sales.
| Trends At a Glance | Aug 2023 | Previous Month | Year-over-Year |
|---|---|---|---|
| Median Price | $1,460,000 (-2.0%) | $1,490,000 | $1,349,950 (+8.2%) |
| Average Price | $1,656,210 (+11.6%) | $1,483,780 | $1,516,320 (+9.2%) |
| No. of Sales | 18 (-30.8%) | 26 | 43 (-58.1%) |
| Pending | 31 (+82.4%) | 17 | 52 (-40.4%) |
| Active | 40 (-13.0%) | 46 | 56 (-28.6%) |
| Sale vs. List Price | 99.0% (-2.9%) | 101.9% | 99.1% (-0.1%) |
| Days on Market | 34 (+125.2%) | 15 | 28 (+21.6%) |
| Days of Inventory | 67 (+25.6%) | 53 | 39 (+70.6%) |
Single Family Home Live charts from Altos Research
The following charts are from Altos Research, updated automatically each week, using data of homes available to purchase (not sold / closed sales), for the Morgan Hill real estate market. (I have a paid subscription to this service.)
Morgan Hill houses for sale average days on market:
Inventory of single family homes available to purchase:
While inventory had been on the rise in 2022, it never got anywhere close to normal levels and doesn’t look like it will anytime soon. As always, low inventory + high demand = high or rising prices. Cooling demand caused by rising interest rates, appears to mostly be translating into fewer offers and lower sales prices, but not significantly fewer sales.
It should be noted that there’s a ton of new construction going on in the northern part of Morgan Hill, but that hasn’t appeared to be helping a severe inventory shortage!
Real estate market for condominiums and townhouses in Morgan Hill
Morgan Hill condos and townhomes are showing a strong seller’s market with elevated market action and severely low inventory, according to the latest update of this Altos Reports. Lately these properties have been even hotter than the single family home market! However this data can fluctuate dramatically with such small numbers, so take it with a grain of salt.
Trends for the condo real estate market in Morgan Hill
See the full Real Estate Report here. With so few sales, a single out-of-the-ordinary listing could throw the whole chart out of whack! So take this data with a pound of salt.
Active inventory held stable, closed sales grew, and pending sales fell by nearly half month-over-month in Morgan Hill’s condo and townhome market. Compared to a year ago things are looking pretty similar, though prices are up. Overall it remains a sellers market that’s a little hotter than the single family home market.
| Trends At a Glance | Aug 2023 | Previous Month | Year-over-Year |
|---|---|---|---|
| Median Price | $925,000 (-1.1%) | $935,000 | $849,000 (+9.0%) |
| Average Price | $910,364 (+3.2%) | $882,389 | $841,333 (+8.2%) |
| No. of Sales | 11 (+22.2%) | 9 | 9 (+22.2%) |
| Pending | 6 (-45.5%) | 11 | 7 (-14.3%) |
| Active | 12 (0.0%) | 12 | 10 (+20.0%) |
| Sale vs. List Price | 99.6% (-0.7%) | 100.3% | 99.6% (0.0%) |
| Days on Market | 29 (+45.9%) | 20 | 27 (+8.5%) |
| Days of Inventory | 33 (-18.2%) | 40 | 33 (-1.8%) |
Condo and Townhouse Live charts from Altos Research
The Morgan Hill condo market
List prices by quartile:
Average days on market:
This jumps all over the place with a range of roughly 20-60 days on the market, but a couple of price points converged around the 30-day mark. Remember to disregard data from March to May 2020.
Inventory:
Want to buy or sell a home in Morgan Hill? It’s a great community and I work there, too! Please contact me for a no obligation, no cost, no pressure conversation to discuss your goals and how I may be able to assist you.
