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Saratoga, CA real estate remains in a strong seller’s market with a high volume of sales fighting for a small winter inventory. Detailed data and analysis on the current market is available below and updated monthly. Here is the latest snapshot for what’s happening with single family homes in this city:

  • The sales to list price ratio rose to a white hot 108.1% of list price.
  • Inventory continues to shrink into winter, remaining well below 2019 levels.
  • Prices remain high compared to last year.

How’s the Saratoga California real estate market?

This year has been unlike any other, yet the market remains in the seller’s favor for the Saratoga, CA real estate market. Much of the market strength depends on the price point, school district, and condition – today’s buyers generally prefer recently remodeled homes. (Not long ago, I showed a home that was remodeled in 2010 and my buyers found it to be dated.) In response to this strong preference, many sellers have begun moving out and getting their homes updated prior to going on the market.

That being said, the real estate market today is not the same as it was at the start of March. We’ll see more of the results of these changes in the April market analysis than we will looking back on March. To learn more about how Covid-19 is affecting the real estate market, please check my post: Coronavirus Impact on Real Estate Sales.

During the shutdown so far, the Multiple Listing Service (MLS) stopped the timer on all Days on Market (DOM). Therefore these numbers will be off beginning from March 17th through around May 17th. In the data below, this will affect any numbers related to the days on market, the absorption rate, and the days of inventory for those months. Current numbers are accurate.

Orchard and Hills in Saratoga, California - photo for article on the Saratoga CA real estate market

Orchard and Hills in Saratoga, California

First, a quick glance at the Altos Research market profile for a quick summary of the market conditions. Altos uses LIST prices, not sold prices, for this chart and the others, below.

Real-Time Market Profile Saratoga, CA 95070

In the latest update, January 7th, Altos shows a strong seller’s market despite inventory shrinking and days on market growing.

Next, let’s turn to the closed sales from last month. This time we’re using data from a subscription service of mine to the RE Report.

Here are the real estate sales statistics for closed sales last month among houses and duet homes (if there are any) in the 95070 zip code (click on link to read the full Saratoga Real Estate Report for houses). Bottom line is that most livable homes in Saratoga will run between $2.5 and $3.5 million if they are mid sized (2000-3000 SF) and in the best schools area (Saratoga or Cupertino). Homes in the Campbell schools area, which have very strong elementary and middle schools, are very rare and generally more affordable, closer to $1.5, but depending on size, condition, and location they can be significantly higher (the ones selling in October 2019 were closer to $2.5, for instance).

Trends at a Glance for the Saratoga CA Real Estate Market

Saratoga remains fairly stable. The median prices are stable month over month and looking up year over year. Sales dipped but remain above last year’s numbers, as did pending sales. Active inventory dropped significantly again and remain well below 2019 levels. The sales to list price ratio continued to skyrocket to a white hot 108.1%! The days on market are consistent with last year, though days of inventory are significantly less. Limited supply with ample demand is creating a sustained strong seller’s market in Saratoga, CA.

Trends At a Glance Dec 2020 Previous Month Year-over-Year
Median Price $3,205,000 (+0.2%) $3,200,000 $2,672,500 (+19.9%)
Average Price $3,561,000 (+10.2%) $3,232,540 $2,923,530 (+21.8%)
No. of Sales 25 (-13.8%) 29 20 (+25.0%)
Pending 20 (-20.0%) 25 12 (+66.7%)
Active 16 (-46.7%) 30 24 (-33.3%)
Sale vs. List Price 108.1% (+2.5%) 105.4% 99.0% (+9.2%)
Days on Market 39 (+99.6%) 19 38 (+1.9%)
Days of Inventory 19 (-36.0%) 30 36 (-46.7%)

And the month before:

Trends At a Glance Nov 2020 Previous Month Year-over-Year
Median Price $3,200,000 (-4.1%) $3,337,500 $2,550,000 (+25.5%)
Average Price $3,232,540 (-7.0%) $3,476,700 $2,721,480 (+18.8%)
No. of Sales 29 (+20.8%) 24 21 (+38.1%)
Pending 26 (-23.5%) 34 22 (+18.2%)
Active 29 (-25.6%) 39 46 (-37.0%)
Sale vs. List Price 105.4% (+1.3%) 104.0% 99.0% (+6.4%)
Days on Market 19 (0.0%) 19 38 (-49.0%)
Days of Inventory 29 (-40.5%) 49 64 (-54.3%)

 

Altos Research – list prices for Saratoga CA 95070

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

It’s costing around $3.5 million for a “typical” Saratoga house – whatever that might look like!

Homes have been selling close to list price. The sale price to list price ratio was hovering around 105%-110% in 2017 and 2018, but has been bouncing around 100% and dipped as low as 96.8% in 2020, although it’s climbing again at the end of the year, reaching 108.1% in December. The general picture: for years it’s been a seller’s market in Saratoga for single family homes, with varying degrees of heat.

Median List Prices of Saratoga Houses for Sale by price point

Next, the median list prices for single family homes with a breakdown by price quartile. (Please note that the info would be even more precise if broken down by school district, but this particular program doesn’t yet filter by schools.) Properties across the board appear to be fairly level, keeping steady, but more recently with a gentle rising trend.  The top tier, as usual, shows the most dramatic ups and downs. The peak pricing for the top tier of homes was around March of this year, whereas the remaining tiers of the market rose more gradually, reaching peak pricing for the year in December.

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

Saratoga condo and townhouse market:

Next, please find the basic statistics for closed sales last month among townhouses & condominiums in the 95070 zip code (see the Saratoga Real Estate Report for condos & townhomes).

The numbers of sales for this segment of the realty market are always small, so it can appear more volatile than is actually the case. This small inventory means data can quickly swing, so don’t trust the percentages in this chart too much.

Still, looking back we can see it’s been a steady seller’s market often with more listings selling and pending than those currently active. By March it had heated to a strong seller’s market, though the usual spring trend was soon interrupted and the market has cooled since. In the latest update, January 8th, the market action is holding steady in a strong seller’s market.

Saratoga, CA Condo Real-Time Market Profile

Saratoga CA real estate stats:

Saratoga’s condo market inventory has grown a hair in recent months, but it wasn’t much to begin with. With so few sales the best way to understand the market is to study individual comps (comparable properties sold recently).

Trends at a Glance

This segment of the real estate market can sometimes show more significant swings in data than there really are, since there are so few sales to gauge the market by. And this month is no exception with only 3 sales in December! Still, it’s better than October with only 1 sale. Looking at the sales vs list price ratio, properties have been selling close to, and often above, list price for a long time. In December, that ratio rocketed to an astonishing 108.4% of list price! Of course, with so few sales it’s likely there is one skewing at percentage. Sales and pending sales remained fairly consistent from the month before and compared to last year while active inventory took a dip from November, but remains high compared to 2019. Condos continue to sell on average in under a month.

After a firey March, the market hasn’t quite caught up to where it was before the pandemic. Still, it seems like Saratoga condos have consistent activity and remain in a clear seller’s market.

Trends At a Glance Dec 2020 Previous Month Year-over-Year
Median Price $1,296,000 (+29.9%) $997,500 $1,088,000 (+19.1%)
Average Price $1,366,000 (+37.5%) $993,750 $1,206,000 (+13.3%)
No. of Sales (-25.0%) 4 (0.0%)
Pending (0.0%) 3 (0.0%)
Active (-28.6%) 7 (+66.7%)
Sale vs. List Price 108.4% (+8.4%) 100.1% 97.8% (+10.9%)
Days on Market 24 (+39.2%) 17 66 (-64.0%)
Days of Inventory 50 (-1.5%) 51 30 (+66.7%)

And the month before:

Trends At a Glance Nov 2020 Previous Month Year-over-Year
Median Price $997,500 (-41.2%) $1,695,000 $1,556,250 (-35.9%)
Average Price $993,750 (-41.4%) $1,695,000 $1,556,250 (-36.1%)
No. of Sales (+300.0%) 1 (+100.0%)
Pending (-40.0%) 5 (+50.0%)
Active (-12.5%) 8 (+16.7%)
Sale vs. List Price 100.1% (-7.0%) 107.6% 95.2% (+5.2%)
Days on Market 17 (+183.3%) 6 53 (-67.9%)
Days of Inventory 51 (-78.9%) 240 87 (-41.7%)

With condos, it’s very easy to feel alarmed at the numbers, but so few condominiums or town homes sell each month that it doesn’t take much to make the numbers get wonky. So as with the houses, we have to evaluate on a case-by-case basis. Because Saratoga has a number of school districts and property types (condos and town houses), you really need to zero in on the exact area, home type and size, as well as related issues such as condition before deciding that the market is rising or falling. If you are interested in buying or selling a condo or townhouse in Saratoga, don’t go it alone or rely on online stats – give me a call and we will crunch the numbers specifically for your home and pinpoint the pricing.

Median List Prices of Saratoga Condos for Sale

And now, list price of condos by price quartiles.

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

The condo market heated up for the beginning of 2020, but around the start of March most quartiles began to drop with the second highest price quartile being least affected, and the top luxury-tier showing most dramatic shifts. Things leveled off around summer, and around July started to really climb again in most sectors until October when things began to drop again. This chart updates weekly, so check back frequently for the latest statistics.

Additional trend charts for both single family homes and townhouses & condominiums

Inventory of both houses & condos in Saratoga

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

It’s seasonally typical to have more inventory in summer than other times of the year, though last autumn did well compared to the start of 2019. Going back a few more years (see below), please note where the peaks are found – almost always sometime in summer. (Single family homes only.)

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

It’s less clear, but still visible, with condominiums and townhouses in Saratoga:

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

Average Days on Market for Saratoga Homes for Sale

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

Days on Market for Houses by quartile, the chart is not much different –  what is so interesting to me is that the the top quartile is so separate from the rest, though it seems to come closer to the other markets outside of winter. Another surprise, the entry-level properties have changed place from fastest turnover last summer to become the second slowest to sell, where they have been all of 2020.

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

It is strangely disjointed in the Saratoga Condo market, though. I can’t explain why this had been so “all over the board” based on just this data.

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

My suspicion is that the homes with the better schools are faring the best, but that’s just a hunch based on how well homes usually sell – it’s not provable with this info at hand. Again, with low inventory, the data for condos gets wonky.

If you’re interested in buying or selling a Saratoga home, please contact me. I’ll be happy to meet with you for a no obligation initial consultation.

View Saratoga CA homes for sale HERE.

Interested in buying or selling a home in Saratoga? I grew up there (and in Santa Clara), graduated from Saratoga High before heading off to college, and have been selling homes as a Saratoga Realtor – and nearby parts of Santa Clara County & Silicon Valley too –  since 1993. I understand the impact of Saratoga’s school districts on home buying decisions, the importance of various locations to market value, and resale concerns that can improve or detract from your return on investment.

Read more about my background on the Valley of Hearts Delight website (sister site to this blog) and learn why my past clients and other readers of the San Jose Mercury News named me “best real estate agent in Silicon Valley” in 2011. There you’ll also see my accomplishments/honors/awards, info on sales experience, and more.

Contact Mary Now 408 204-7673Or just take a moment to phone me at 408 204-7673, or email me
mailto:mary@popehandy.com