Here are my observations of the most recent March transactions for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website at www.thomasmcevoy.com .
> General Market Observations and Comments -- Closings turned up sharply in March, indicating much stronger markets in Silicon Valley. Additionally, the amount of homes available for sale (supply) has increased as it usually does in the last winter, early spring. However, what's different is that the rate of increase is lower than the average over the last ten years. Demand continues to point to single family residences (SFR) and away from condos/townhouses. My advice for buyers: if you prefer the life-style of a condo or townhouse, there are better buys possible. Yes, they have homeowner association dues that often cover additional ownership features and benefits (e.g., utilities, pool/spa, exercise rooms, and the like) but the owner doesn't have to worry about it. As for the available homes for sale -- we're seeing a bipolar market. Homes priced well and in good condition, sell quickly and get the most activity (i.e., higher prices, quicker sale). Overpriced homes or those in poor locations or in poor condition stay on the market far longer and eventually sell with lower prices or as "fixer uppers" or "fix and flips". Last month, I stated that one of the hot markets was the area comprising the cities of Mountain View, Los Altos and Palo Alto. This continues to occur but has spilled out to include some adjacent areas. One case involves Sunnyvale, where homes in the Cupertino school attendance area are selling rather quickly with multiple offers if they are good values and in good condition. These include those with list prices above $1 million. Mortgage rates remain in the high 4 to low 5% range. Certainly this is positive inducement for buyer's home affordability. If rates go to 5 1/2%, that would be equivalent to a 10% increase in the price in terms of affordability. Those buyers needing financing could be forced to "buy down" or not buy at all if rates should seek higher ground. Since there were problems obtaining accurate detailed statistical information on March transactions, I thought to at least provide you some of my observations. I'm available for consultation if you are seeking marketing intelligence and strategies as you firm up your real estate plans. Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.Sunday, April 17, 2011
Saturday, April 16, 2011
April Silicon Valley Real Estate Market Comments
Here are my observations of the most recent March transactions for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website.
> General Market Observations and Comments -- Closings turned up sharply in March, indicating much stronger markets in Silicon Valley. Additionally, the amount of homes available for sale (supply) has increased as it usually does in the last winter, early spring. However, what's different is that the rate of increase is lower than the average over the last ten years.
Demand continues to point to single family residences (SFR) and away from condos/townhouses. My advice for buyers: if you prefer the life-style of a condo or townhouse, there are better buys possible. Yes, they have homeowner association dues that often cover additional ownership features and benefits (e.g., utilities, pool/spa, exercise rooms, and the like) but the owner doesn't have to worry about it.
As for the available homes for sale -- we're seeing a bipolar market. Homes priced well and in good condition, sell quickly and get the most activity (i.e., higher prices, quicker sale). Overpriced homes or those in poor locations or in poor condition stay on the market far longer and eventually sell with lower prices or as "fixer uppers" or "fix and flips".
Last month, I stated that one of the hot markets was the area comprising the cities of Mountain View, Los Altos and Palo Alto. This continues to occur but has spilled out to include some adjacent areas. One case involves Sunnyvale, where homes in the Cupertino school attendance area are selling rather quickly with multiple offers if they are good values and in good condition. These include those with list prices above $1 million.
Mortgage rates remain in the high 4 to low 5% range. Certainly this is positive inducement for buyer's home affordability. If rates go to 5 1/2%, that would be equivalent to a 10% increase in the price in terms of affordability. Those buyers needing financing could be forced to "buy down" or not buy at all if rates should seek higher ground.
Since there were problems obtaining accurate statistical information on March transactions, I thought to at least provide you some of my observations. I'm available for consultation if you are seeking marketing intelligence and strategies as you gel your real estate plans.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
> General Market Observations and Comments -- Closings turned up sharply in March, indicating much stronger markets in Silicon Valley. Additionally, the amount of homes available for sale (supply) has increased as it usually does in the last winter, early spring. However, what's different is that the rate of increase is lower than the average over the last ten years.
Demand continues to point to single family residences (SFR) and away from condos/townhouses. My advice for buyers: if you prefer the life-style of a condo or townhouse, there are better buys possible. Yes, they have homeowner association dues that often cover additional ownership features and benefits (e.g., utilities, pool/spa, exercise rooms, and the like) but the owner doesn't have to worry about it.
As for the available homes for sale -- we're seeing a bipolar market. Homes priced well and in good condition, sell quickly and get the most activity (i.e., higher prices, quicker sale). Overpriced homes or those in poor locations or in poor condition stay on the market far longer and eventually sell with lower prices or as "fixer uppers" or "fix and flips".
Last month, I stated that one of the hot markets was the area comprising the cities of Mountain View, Los Altos and Palo Alto. This continues to occur but has spilled out to include some adjacent areas. One case involves Sunnyvale, where homes in the Cupertino school attendance area are selling rather quickly with multiple offers if they are good values and in good condition. These include those with list prices above $1 million.
Mortgage rates remain in the high 4 to low 5% range. Certainly this is positive inducement for buyer's home affordability. If rates go to 5 1/2%, that would be equivalent to a 10% increase in the price in terms of affordability. Those buyers needing financing could be forced to "buy down" or not buy at all if rates should seek higher ground.
Since there were problems obtaining accurate statistical information on March transactions, I thought to at least provide you some of my observations. I'm available for consultation if you are seeking marketing intelligence and strategies as you gel your real estate plans.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
Thursday, March 10, 2011
March Silicon Valley Real Estate Market Highlights
Here are the highlights of February transactions and market comments for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website. > Market Overview -- The decrease in the amount of closed sales in both counties continues, an indicator of slowing markets. Closings of single family residences (SFR) in Santa Clara County decreased slightly from last month to 632 at match the level of the same month a year ago. For San Mateo County, SFR closings were 221, down from 234 last month and down from 230 from the same month a year ago. My analysis of the transactional information reveals: * The supply of single family residences available for sale (inventory) in Santa Clara County, increased to 2,417 from 2,335 and is 10.1% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,158 from 1,088 last month and was 18.2% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into the first part of a year. The rate of increase is not too steep so that portends a more positive market environment. Generally, inventory is about on track with the ten-year average -- not too high or not too low. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County. * 46.5% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is 43.9%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have perked up a bit in each county. * Days of Unsold Inventory (DUI), continues to move lower making for a more positive market in both counties. We watch this important indicator closely to provide insight into how the market is handling demand and supply. DUI is a calculation using both supply and demand so is not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For February, Santa Clara County had a DUI of 56 for SFR's, down from 62, 58 for condos/townhouses, down from 64 and 99 for multi-unit properties, up slightly from 95. San Mateo County had a DUI for SFR's of 71 down from 85 last month, 87 for condos/townhouses down from 103. Once again, all readings continue to point to a more positive market for Santa Clara County. > Seller Markets? -- For Santa Clara County the hottest (seller) market areas are Santa Teresa, South San Jose, and East Valley portions of San Jose followed by the market area comprising Mountain View, Los Altos and Palo Alto. For San Mateo County, there were again NO hot markets! A seller's market has characteristics of a shorter time on the market, fewer number of homes available for sale, higher demand by buyers along with a tendency for multiple offers and sale prices generally exceeding list prices. A seller's market area has a potential of price appreciation. > Buyer's Markets? -- For Santa Clara County, we see buyer's markets in the Willow Glen area of San Jose and Campbell. Willow Glen is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool. What makes a buyer's market is the relationship of supply to demand -- simply put as higher supply relative to demand, the area will have the characteristics of a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation. We see buyer's market areas have price reductions before a buyer makes an offer. Where do I get "Seller's" and "Buyer's" market information? This is not based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI). > Median prices have moved lower in Santa Clara County but increased in San Mateo County -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $530,000, versus $532,000, or a 0.4% decrease from last month and a decrease of 4.0% from the same month a year ago. The median price for condos/townhouses was unavailable due to incomplete data. San Mateo County's median price for SFR's was $640,000, up 8.5% from $590,000 last month and down 2.3% from the same month a year ago. The median price for San Mateo County condo/townhouses was $372,500, up 1.4% from $367,500 last month and down 1.7% from the same month a year ago. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergences in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares. > $5+ million sales return! -- More rare is the fact that there are now some high end transactions that have taken place in Santa Clara and San Mateo counties. Matter of fact, there were 7 sales in each county last month. I use this as a leading indicator of market conditions which have swung to positive in other price ranges as well. Need help with understanding the market in your area? For instance, how can there be a difference between the relatively hot market conditions in Los Altos and Palo Alto but very cool market conditions in Campbell? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
March Silicon Valley Real Estate Market Highlights
Here are the highlights of February transactions and market comments for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website.
> Market Overview -- The decrease in the amount of closed sales in both counties continues, an indicator of slowing markets. Closings of single family residences (SFR) in Santa Clara County decreased slightly from last month to 632 at match the level of the same month a year ago. For San Mateo County, SFR closings were 221, down from 234 last month and down from 230 from the same month a year ago. My analysis of the transactional information reveals:
* The supply of single family residences available for sale (inventory) in Santa Clara County, increased to 2,417 from 2,335 and is 10.1% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,158 from 1,088 last month and was 18.2% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into the first part of a year. The rate of increase is not too steep so that portends a more positive market environment. Generally, inventory is about on track with the ten-year average -- not too high or not too low. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County.
* 46.5% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is 43.9%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have perked up a bit in each county.
* Days of Unsold Inventory (DUI), continues to move lower making for a more positive market in both counties. We watch this important indicator closely to provide insight into how the market is handling demand and supply. DUI is a calculation using both supply and demand so is not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For February, Santa Clara County had a DUI of 56 for SFR's, down from 62, 58 for condos/townhouses, down from 64 and 99 for multi-unit properties, up slightly from 95. San Mateo County had a DUI for SFR's of 71 down from 85 last month, 87 for condos/townhouses down from 103. Once again, all readings continue to point to a more positive market for Santa Clara County.
> Seller Markets? -- For Santa Clara County the hottest (seller) market areas are Santa Teresa, South San Jose, and East Valley portions of San Jose followed by the market area comprising Mountain View, Los Altos and Palo Alto. For San Mateo County, there were again NO hot markets! A seller's market has characteristics of a shorter time on the market, fewer number of homes available for sale, higher demand by buyers along with a tendency for multiple offers and sale prices generally exceeding list prices. A seller's market area has a potential of price appreciation.
> Buyer's Markets? -- For Santa Clara County, we see buyer's markets in the Willow Glen area of San Jose and Campbell. Willow Glen is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool. What makes a buyer's market is the relationship of supply to demand -- simply put as higher supply relative to demand, the area will have the characteristics of a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation. We see buyer's market areas have price reductions before a buyer makes an offer.
Where do I get "Seller's" and "Buyer's" market information? This is not based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI).
> Median prices have moved lower in Santa Clara County but increased in San Mateo County -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $530,000, versus $532,000, or a 0.4% decrease from last month and a decrease of 4.0% from the same month a year ago. The median price for condos/townhouses was unavailable due to incomplete data. San Mateo County's median price for SFR's was $640,000, up 8.5% from $590,000 last month and down 2.3% from the same month a year ago. The median price for San Mateo County condo/townhouses was $372,500, up 1.4% from $367,500 last month and down 1.7% from the same month a year ago. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergencies in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares.
> $5+ million sales return! -- More rare is the fact that there are now some high end transactions that have taken place in Santa Clara and San Mateo counties. Matter of fact, there were 7 sales in each county last month. I use this as a leading indicator of market conditions which have swung to positive in other price ranges as well.
Need help with understanding the market in your area? For instance, how can there be a difference between the relatively hot market conditions in Los Altos and Palo Alto but very cool market conditions in Campbell? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
> Market Overview -- The decrease in the amount of closed sales in both counties continues, an indicator of slowing markets. Closings of single family residences (SFR) in Santa Clara County decreased slightly from last month to 632 at match the level of the same month a year ago. For San Mateo County, SFR closings were 221, down from 234 last month and down from 230 from the same month a year ago. My analysis of the transactional information reveals:
* The supply of single family residences available for sale (inventory) in Santa Clara County, increased to 2,417 from 2,335 and is 10.1% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,158 from 1,088 last month and was 18.2% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into the first part of a year. The rate of increase is not too steep so that portends a more positive market environment. Generally, inventory is about on track with the ten-year average -- not too high or not too low. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County.
* 46.5% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is 43.9%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have perked up a bit in each county.
* Days of Unsold Inventory (DUI), continues to move lower making for a more positive market in both counties. We watch this important indicator closely to provide insight into how the market is handling demand and supply. DUI is a calculation using both supply and demand so is not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For February, Santa Clara County had a DUI of 56 for SFR's, down from 62, 58 for condos/townhouses, down from 64 and 99 for multi-unit properties, up slightly from 95. San Mateo County had a DUI for SFR's of 71 down from 85 last month, 87 for condos/townhouses down from 103. Once again, all readings continue to point to a more positive market for Santa Clara County.
> Seller Markets? -- For Santa Clara County the hottest (seller) market areas are Santa Teresa, South San Jose, and East Valley portions of San Jose followed by the market area comprising Mountain View, Los Altos and Palo Alto. For San Mateo County, there were again NO hot markets! A seller's market has characteristics of a shorter time on the market, fewer number of homes available for sale, higher demand by buyers along with a tendency for multiple offers and sale prices generally exceeding list prices. A seller's market area has a potential of price appreciation.
> Buyer's Markets? -- For Santa Clara County, we see buyer's markets in the Willow Glen area of San Jose and Campbell. Willow Glen is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool. What makes a buyer's market is the relationship of supply to demand -- simply put as higher supply relative to demand, the area will have the characteristics of a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation. We see buyer's market areas have price reductions before a buyer makes an offer.
Where do I get "Seller's" and "Buyer's" market information? This is not based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI).
> Median prices have moved lower in Santa Clara County but increased in San Mateo County -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $530,000, versus $532,000, or a 0.4% decrease from last month and a decrease of 4.0% from the same month a year ago. The median price for condos/townhouses was unavailable due to incomplete data. San Mateo County's median price for SFR's was $640,000, up 8.5% from $590,000 last month and down 2.3% from the same month a year ago. The median price for San Mateo County condo/townhouses was $372,500, up 1.4% from $367,500 last month and down 1.7% from the same month a year ago. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergencies in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares.
> $5+ million sales return! -- More rare is the fact that there are now some high end transactions that have taken place in Santa Clara and San Mateo counties. Matter of fact, there were 7 sales in each county last month. I use this as a leading indicator of market conditions which have swung to positive in other price ranges as well.
Need help with understanding the market in your area? For instance, how can there be a difference between the relatively hot market conditions in Los Altos and Palo Alto but very cool market conditions in Campbell? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
Thursday, February 10, 2011
World Class Chocolates in the Valley of Hearts Delight
You've made dinner reservations at a romantic restaurant (I did at Birk's Restaurant in Santa Clara, CA) and you might have picked up a little something for her at her favorite store, perhaps even some nice long-stems. Of course, there's always sweets for your sweets for Valentine's Day.
Here is a selection of some world class chocolatiers from Palo Alto, Sunnyvale, Saratoga, Los Gatos and Santa Cruz:
Chocolate Dream Box - Handcrafted European style chocolates specializing in gifts for holidays such as Valentine's Day
* 710 Blossom Hill Road, Los Gatos. 408-356-2626
Fleur e Cocoa Patisserie Chocolaterie - Offering cakes, pastries, chocolates, light lunch & more
39 N. Santa Cruz Avenue, Los Gatos. 408-354-3574
Richard Donnelly Chocolates - Handmade, award winning chocolates
* 1509 Mission Street, Santa Cruz. 888-685-1871
Saratoga Chocolates
* 14572-B Big Basin Way, Saratoga. 408-872-1431
Chocolatier Desiree - Featuring Belgian chocolates
* 165 South Murphy Avenue, #C, Sunnyvale, CA 94086 408-289-1562
Shokolaat - Fine dining with a special Valentine's Day menu
* 516 University Avenue, Palo Alto. 650-289-0719
Sugar Butter Flour - Desserts, chocolates & more
* 669 S. Bernardo Avenue, Sunnyvale. 408-732-8597
How About Wine with Chocolate? Selections from Los Gatos and San Jose...
Testarossa Vineyards
Testarossa Vineyards (formerly Novitiate Winery) is hosting a wine and chocolate pairing event on Saturday, February 12th and Sunday, February 13th from 12:00pm to 4:00pm. Check their details on their website.
J. Lohr Winery
Brunch Sunday, February 13th catered by Jeffreys 11:00am - 1:00pm
Happy Valentine's Day!
Here is a selection of some world class chocolatiers from Palo Alto, Sunnyvale, Saratoga, Los Gatos and Santa Cruz:
Chocolate Dream Box - Handcrafted European style chocolates specializing in gifts for holidays such as Valentine's Day
* 710 Blossom Hill Road, Los Gatos. 408-356-2626
Fleur e Cocoa Patisserie Chocolaterie - Offering cakes, pastries, chocolates, light lunch & more
39 N. Santa Cruz Avenue, Los Gatos. 408-354-3574
Richard Donnelly Chocolates - Handmade, award winning chocolates
* 1509 Mission Street, Santa Cruz. 888-685-1871
Saratoga Chocolates
* 14572-B Big Basin Way, Saratoga. 408-872-1431
Chocolatier Desiree - Featuring Belgian chocolates
* 165 South Murphy Avenue, #C, Sunnyvale, CA 94086 408-289-1562
Shokolaat - Fine dining with a special Valentine's Day menu
* 516 University Avenue, Palo Alto. 650-289-0719
Sugar Butter Flour - Desserts, chocolates & more
* 669 S. Bernardo Avenue, Sunnyvale. 408-732-8597
How About Wine with Chocolate? Selections from Los Gatos and San Jose...
Testarossa Vineyards
Testarossa Vineyards (formerly Novitiate Winery) is hosting a wine and chocolate pairing event on Saturday, February 12th and Sunday, February 13th from 12:00pm to 4:00pm. Check their details on their website.
J. Lohr Winery
Brunch Sunday, February 13th catered by Jeffreys 11:00am - 1:00pm
Happy Valentine's Day!
February Silicon Valley Real Estate Market Highlights
Here are the highlights of January transactions and market comments for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website. > Market Overview -- The last several months has seen a continual decrease in the amount of sales in both counties, an indicator of slowing markets and something we see each year as we enter the holiday and winter season. Closings of single family residences (SFR) in Santa Clara County decreased from last month to 640 from 951 but was 7.9% higher than the same month a year ago. For San Mateo County, SFR closings were 234, down from 370 last month and up 0.9% from the same month a year ago. My analysis of the transactional information reveals: * The supply of single family residences available for sale (inventory) in Santa Clara County, jumped to 2,335 homes from 2,228 and is 23.7% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,088 homes from 983 and was 33.8% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into January. Generally, inventory is about on track with the ten-year average. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County. * More than 40% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is a bit over 37%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have drifted lower but perked up a bit in January in each county. * Days of Unsold Inventory (DUI), after a recent upswing has resumed a move lower. If this positive trend continues, it could portend a market that is gaining strength and could point to more positive market conditions later in the year. We watch this important indicator closely. As we have discussed, DUI is a calculation using both supply and demand so not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For January, Santa Clara County had a DUI of 60 for SFR's, down from 77, 64 for condos/townhouses, down from 88 and 94 for multi-unit properties, down from 128. San Mateo County had a DUI reading of 85 (down from 106) for SFR's, 107 (down from 140) for condos/townhouses. Once again, all readings continue to point to a more positive market for Santa Clara County. > Seller Markets? -- For Santa Clara County the hottest (seller) market areas are South San Jose, Santa Teresa and East Valley portions of San Jose. For San Mateo County, there were NO hot markets! A seller's market has shorter time on the market, fewer number of homes available for sale, higher demand by buyers with a tendency to have multiple offers and sale prices generally exceeding list prices with a potential of price appreciation. > Buyer's Markets? -- For Santa Clara County, we see buyer's markets in Los Gatos, Saratoga and Campbell. Los Gatos is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool right now. What makes a "buyers" market is the relationship of supply to demand -- simply put as higher supply and lower demand. The characteristics of a buyer's market is a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation. Where do I get "Seller's" and "Buyer's" market information? This is not an opinion or based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI). > Median prices have moved lower in Santa Clara and San Mateo counties -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $532,000, versus $558,000, or a 4.7% decrease from last month and an increase of 0.1% from the same month a year ago. The median price for condos/townhouses decreased to $271,500 from last month's $335,000, and is down 15.4%from the same month last year. San Mateo County's median price for SFR's was $590,000, down from $719,500 last month, down 9.2% from the same month a year ago. The median price for San Mateo County condo/townhouses was $367,500, down from $370,000 last month and 20.9% from the same month last year. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergences in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares. > 80 days and no offer! -- One of the indicators I review closely is the median days on market (median DOM) for available homes. For Santa Clara County it stands at 79 and for San Mateo County it is at 86. This means that half of the homes on the market are over this figure and half under. The homes that sold are at just 54 and 48, respectively, in Santa Clara and San Mateo counties. Need help with understanding the market in your area? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
Wednesday, February 9, 2011
February Silicon Valley Real Estate Market Highlights
Here are the highlights of January transactions and market comments for Santa Clara County real estate and San Mateo County real estate. Your comments and questions are always welcome. If you see something in your neighborhood that you are curious about or have a question, please don't hesitate to share with us. If you have questions or a comment, please leave them here, or feel free to contact me through my website.
> Market Overview -- The last several months has seen a continual decrease in the amount of sales in both counties, an indicator of slowing markets and something we see each year as we enter the holiday and winter season. Closings of single family residences (SFR) in Santa Clara County decreased from last month to 640 from 951 but was 7.9% higher than the same month a year ago. For San Mateo County, SFR closings were 234, down from 370 last month and up 0.9% from the same month a year ago. My analysis of the transactional information reveals:
* The supply of single family residences available for sale (inventory) in Santa Clara County, jumped to 2,335 homes from 2,228 and is 23.7% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,088 homes from 983 and was 33.8% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into January. Generally, inventory is about on track with the ten-year average. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County.
* More than 40% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is a bit over 37%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have drifted lower but perked up a bit in January in each county.
* Days of Unsold Inventory (DUI), after a recent upswing has resumed a move lower. If this positive trend continues, it could portend a market that is gaining strength and could point to more positive market conditions later in the year. We watch this important indicator closely. As we have discussed, DUI is a calculation using both supply and demand so not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For January, Santa Clara County had a DUI of 60 for SFR's, down from 77, 64 for condos/townhouses, down from 88 and 94 for multi-unit properties, down from 128. San Mateo County had a DUI reading of 85 (down from 106) for SFR's, 107 (down from 140) for condos/townhouses. Once again, all readings continue to point to a more positive market for Santa Clara County.
> Seller Markets? -- For Santa Clara County the hottest (seller) market areas are South San Jose, Santa Teresa and East Valley portions of San Jose. For San Mateo County, there were NO hot markets! A seller's market has shorter time on the market, fewer number of homes available for sale, higher demand by buyers with a tendency to have multiple offers and sale prices generally exceeding list prices with a potential of price appreciation.
> Buyer's Markets? -- For Santa Clara County, we see buyer's markets in Los Gatos, Saratoga and Campbell. Los Gatos is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool right now. What makes a "buyers" market is the relationship of supply to demand -- simply put as higher supply and lower demand. The characteristics of a buyer's market is a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation.
Where do I get "Seller's" and "Buyer's" market information? This is not an opinion or based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI).
> Median prices have moved lower in Santa Clara and San Mateo counties -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $532,000, versus $558,000, or a 4.7% decrease from last month and an increase of 0.1% from the same month a year ago. The median price for condos/townhouses decreased to $271,500 from last month's $335,000, and is down 15.4%from the same month last year. San Mateo County's median price for SFR's was $590,000, down from $719,500 last month, down 9.2% from the same month a year ago. The median price for San Mateo County condo/townhouses was $367,500, down from $370,000 last month and 20.9% from the same month last year. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergencies in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares.
> 80 days and no offer! -- One of the indicators I review closely is the median days on market (median DOM) for available homes. For Santa Clara County it stands at 79 and for San Mateo County it is at 86. This means that half of the homes on the market are over this figure and half under. The homes that sold are at just 54 and 48, respectively, in Santa Clara and San Mateo counties.
Need help with understanding the market in your area? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
> Market Overview -- The last several months has seen a continual decrease in the amount of sales in both counties, an indicator of slowing markets and something we see each year as we enter the holiday and winter season. Closings of single family residences (SFR) in Santa Clara County decreased from last month to 640 from 951 but was 7.9% higher than the same month a year ago. For San Mateo County, SFR closings were 234, down from 370 last month and up 0.9% from the same month a year ago. My analysis of the transactional information reveals:
* The supply of single family residences available for sale (inventory) in Santa Clara County, jumped to 2,335 homes from 2,228 and is 23.7% higher than the same month a year ago. Similarly, we saw San Mateo County's inventory jump to 1,088 homes from 983 and was 33.8% higher than the same month a year ago. Keep in mind that many sellers remove their homes from the marketplace at the end of the year so this is not unexpected to see an increase into January. Generally, inventory is about on track with the ten-year average. Against this backdrop, the market continues more positive in Santa Clara County than in San Mateo County.
* More than 40% of sellers in Santa Clara County get at least list price for their homes! In San Mateo County, the corresponding percentage is a bit over 37%. This is another indicator that the overall market remains stronger in Santa Clara County. Also, these indicators have drifted lower but perked up a bit in January in each county.
* Days of Unsold Inventory (DUI), after a recent upswing has resumed a move lower. If this positive trend continues, it could portend a market that is gaining strength and could point to more positive market conditions later in the year. We watch this important indicator closely. As we have discussed, DUI is a calculation using both supply and demand so not an opinion. A higher figure for DUI, then, means the market is becoming weaker. For January, Santa Clara County had a DUI of 60 for SFR's, down from 77, 64 for condos/townhouses, down from 88 and 94 for multi-unit properties, down from 128. San Mateo County had a DUI reading of 85 (down from 106) for SFR's, 107 (down from 140) for condos/townhouses. Once again, all readings continue to point to a more positive market for Santa Clara County.
> Seller Markets? -- For Santa Clara County the hottest (seller) market areas are South San Jose, Santa Teresa and East Valley portions of San Jose. For San Mateo County, there were NO hot markets! A seller's market has shorter time on the market, fewer number of homes available for sale, higher demand by buyers with a tendency to have multiple offers and sale prices generally exceeding list prices with a potential of price appreciation.
> Buyer's Markets? -- For Santa Clara County, we see buyer's markets in Los Gatos, Saratoga and Campbell. Los Gatos is currently my "Best Buy" area in the county. For San Mateo County, we see buyer's markets in Foster City/Redwood Shores and especially the San Mateo Coast cities. The "Bay Cities" of San Mateo County like San Mateo, Redwood City, etc. are a bit cool right now. What makes a "buyers" market is the relationship of supply to demand -- simply put as higher supply and lower demand. The characteristics of a buyer's market is a longer time on the market, higher number of homes available for sale, lower demand by buyers which translates into a lower probability of multiple offers and a tendency for price stabilization or even price depreciation.
Where do I get "Seller's" and "Buyer's" market information? This is not an opinion or based on price levels but a calculation I make using the number of homes for sale (supply) and the number of sales (demand) in the prior month which results in days of unsold inventory (DUI).
> Median prices have moved lower in Santa Clara and San Mateo counties -- The median price for SFR's in Santa Clara County has decreased for the last several months. It now stands at $532,000, versus $558,000, or a 4.7% decrease from last month and an increase of 0.1% from the same month a year ago. The median price for condos/townhouses decreased to $271,500 from last month's $335,000, and is down 15.4%from the same month last year. San Mateo County's median price for SFR's was $590,000, down from $719,500 last month, down 9.2% from the same month a year ago. The median price for San Mateo County condo/townhouses was $367,500, down from $370,000 last month and 20.9% from the same month last year. I continue to advise my clients NOT to use an entire county's median price level to decide whether to buy or sell or time the market as market areas within each county differ. For instance, I see divergencies in the different market areas in each county so these are general statements. Ask me to provide you with how your area compares.
> 80 days and no offer! -- One of the indicators I review closely is the median days on market (median DOM) for available homes. For Santa Clara County it stands at 79 and for San Mateo County it is at 86. This means that half of the homes on the market are over this figure and half under. The homes that sold are at just 54 and 48, respectively, in Santa Clara and San Mateo counties.
Need help with understanding the market in your area? Give me a call or email me for a no-obligation consultation and research to arm you with market intelligence to help you make a better, more-informed decision.
Thanks for reading my blog. I'm Tom McEvoy, Realtor with RE/MAX Santa Clara Valley -- Let me know your comments, questions, observations you may have or any future topics you'd like me to address.
Subscribe to:
Posts (Atom)
