It's a deep seller's market in most of Silicon Valley...

It's all about small supply and huge demand

Both nationally and locally, inventory of available homes is anywhere from low (in most of the U.S.) to extremely low (here). I just got back from a real estate conference in Phoenix and except for a few places which have oil-dependent economies, it is a seller's market everywhere. Here it's just more intense.

The main story is this: cute homes that are nicely remodeled, and especially in a good location or in lower price ranges, are selling in 7 to 10 days with multiple offers. We had that kind of market last spring, but right now it's quite strong and we're seeing larger numbers of multiple offers (like we did last spring but not in the fall). A couple of weeks ago there was a Cambrian house that had 25 disclosure packages out and that became 17 written offers. (The home sold with no contingencies and well more than 10% over list price.) This is true in the low to medium price points. The rain has had no impact at all on sales in most of the valley - but it would not surprise me if the 95033 area, the Santa Cruz Mountains, is being hard hit since accessibility is now an issue. (My heart goes out to all my friends in the mountain communities!)

The luxury market is stalled out right now, both here and in most parts of the U.S..

Below is a quick view of the real estate stats for Santa Clara County. January closings represent sales in December and are usually the low point of the year, so don't let the numbers worry you. Sales are down only because inventory is down. (If you have friends who work in the title industry, are inspectors, lenders, Realtors, appraisers, they may all tell you that business is a little off - or that they are busy but work isn't as profitable as usual due to the low sales. We are all hoping that this, too, shall pass.)

Read the pdf newsletter for any of these three counties
featuring details by city and town:

Santa Clara County
Monthly SCC Newsletter
Annual SCC Newsletter

San Mateo County
Monthly SMC Newsletter
Annual SMC Newsletter

Santa Cruz County
Monthly SZC Newsletter
Annual SZC Newsletter

What are we expecting for 2017?

Looks like the first few months of 2017 will be similar to early 2016 with incredibly tight inventory and rapidly appreciating prices. Once sellers realize how much their homes are worth, more will likely come onto the market.

Buyers will be frustrated with both rising prices and rising interest rates in 2017. I doubt that it will put a big damper on the market this year because we have so much pent up demand.

Call or email me!

Interested in selling or buying a home in Silicon Valley? Please give me a call or email me and we can set up a time to talk confidentially about your situation, hopes and plans. I've been selling homes here for 24 years and have been successful with buyers and sellers in every market. Or just call to touch base - I love being in touch with clients, family, and friends.

Best regards,