Santa Clara County saw a rebound in buyer demand, luxury home sales and in median home sales prices in Q2, assisted by stock markets hitting new peaks and interest rates falling to multi-year lows. However, its market remains distinctly cooler than the white-hot period running from late 2017 through mid-2018 – when it was perhaps the hottest metro market in the country, seeing stupendous year-over-year appreciation rates.
Median Home Sales Prices
Home Sales by Property Type & Bedroom Count
Luxury Home Sales
Within the Bay Area, Santa Clara County still has the highest number of home sales at prices of $3 million and above, but they are down from the peak sales volume hit in Q2 2018.
Selected Supply & Demand Statistics
In the next series of market trend charts, generally speaking, one can see the rebound in demand during the spring selling season, but also the general softening of the market that has occurred over the past year.
Overpricing: Negative Effects for Sellers
& Opportunities for Buyers
We performed longer-term analyses of the effects of overpricing – as indicated by the need for price reductions before the property sold – on every major market in the Bay Area and the results were uniformly similar. As would be expected, there were dramatic differences in the sales price to list price percentage and time on market before sale. But there were also very substantial differences in the average dollar per square value realized upon sale.
So, overpricing lowers values for sellers, which also signifies opportunities for buyers who keep an eye out for price reductions and react accordingly.
Mortgage Interest Rates Drop to Multi-Year Lows