There is some confusion about the state of the real estate market in the Silicon Valley lately. Are prices going up, are they going down? You hear anything and everything.
These two graphs show the average price per month since the beginning of 2018, one for houses, and the other one for condominiums and townhouses combined. I show here the cities of Mountain View, Sunnyvale, Palo Alto, Los Altos and Los Altos Hills, and Menlo Park. (East Palo Alto for houses).
The Counties of Santa Clara and San Mateo as a whole are also shown, giving some perspective on the larger numbers.
For May, figures are just trends - it is as of 5/20/19
Click on the graphs to see larger
Conclusion? Prices are about at the same level. The reality is that there are segments of the market which are rather up, and some segments which are down from their highs of a year ago (which were the results of many multiple offers). Small entry level condominiums would be in the "soft" category, and I would consider them a deal right now. Remodeled homes in desirable areas would be in the "solid" category.
To know in which category you are and how to structure your offer, you definitely need a specialist.
Factors helping the market:
- low interest rates,
- more inventory for some categories
Factors keeping it competitive:
- very high job creation in the Valley - see this recent article from the
Mercury News, by
George Avalos.
Thank you for reading! Share if you like, and contact me for your real estate questions!
Francis Rolland
My
Home Valuation tool
Detailed, local trends etc...
Current
mortgage rates (low!)
A rundown shack with a city view in San Francisco's Potrero
Hill area is listed for $2.5 million. The seller has obtained a rare permit to
tear down and rebuild on the site in a city that's historically opposed to
building demolition. The planning commission has granted permission to build a
four-story, 4,451 square foot home with a two-car garage and private elevators.
The list price doesn't include teardown or reconstruction costs...
