The real estate market in San Jose’s Blossom Valley area
Pan of Santa Teresa and Blossom Valley
Blossom Valley has been in a strong seller’s market for years, though it cooled significantly through 2025 and the first half of 2026 showed us that this year has been generally a touch cooler than 2025. Still, homes in good shape which are priced appropriately continue to sell quickly and over list price, and low single family home inventory isn’t helping to alleviate demand. While trends can vary based on price point, schools, zip codes, etc., the entire area is leaning slightly in the seller’s favor.
Here are some of the main points from the latest statistics:
- Available inventory remained stable from the month before, but was up year-over-year for single family homes (SFH), while inventory for condos and townhomes rose above both timeframes.
- Closed sales of SFH rose month-over-month and slipped year-over-year, but pending sales shrank below both. For condos and townhomes, closed and pending sales both fell below last month and last year.
- The average sale to list price ratio for SFH slipped -0.1% month-over-month and -0.9% year-over-year, hovering just above asking price on average at 100.7%. For the condo and townhome market that ratio has had some up and down in recent months, and just rose above list price to 100.3%.
- Days on market slowed to 31 days, while market absorption (days of inventory) sped to 36 days for SFH. For the condo and townhome market, the average DOM sped a hair to 37 days while DOI slowed to 75 days.
What are the usual seasonal trends? Typically February closings are when we start to see the first signs of the spring market accelleration, then March and April are often the peak months for pricing. From there, there is often some leveling out in summer, possibly with an autumn resurgence between the start of the school year and the holiday season when we tend to see more significant cooling through winter until the new year. That said, these are just general patterns, and we’ve had some wild years lately!
Looking back on 2025, it looks like the market peaked early in the year, in February, though it remained a hot market through spring with overall cooling through summer and some up and down in autumn before cooling into winter again. So far in 2026, data suggests that early spring acceleration began around January with increasing heating in the housing market in Blossom Valley through March, which appears to have been the season peak. Although the market has been cooling through summer, it’s been a mostly gradual decline with no sharp dips – there’s still fair activity and demand for good Blossom Valley homes that are priced and marketed well, though it’s milder than it was a year ago.
About Blossom Valley
The Blossom Valley area of San Jose is on the south end of the city and covers the 95123 and 95136 zip codes. For our MLS, it’s “area 12.” A more affordable section of Silicon Valley, it has much to offer in addition to more reasonable housing prices. Many areas enjoy views of the Santa Teresa Foothills or the Communications Hill knolls or even the coastal foothills in the distance and Mt Umunhum. One corner of it sits alongside beautiful Almaden Lake, too. Another corner is located at the crossroads of Highways 85 and 87, making it an easy commute destination for those working in downtown San Jose. And there’s an abundance of shopping and dining opportunities, including Oakridge Mall and various shopping centers.
And now for some market data.
Live Altos Reports
We’ll start with the Altos Reports, which gague the market based on active listings, not sales, and is updated about once per week.
95123 real estate market trends, automatically updated weekly:
