Santa Clara County (SCC): Home Sales Prices Down
The median sales price for single-family, re-sale homes fell, month-over-month. It was down 4.9% from September. It was down 0.5% compared to last year.
The average sales price for single-family, re-sale homes was down 0.4%, month-over-month. It was down 0.5% year-over-year.
Sales of single-family, re-sale homes were down for the fourteenth month in a row, year-over-year, in October. Sales fell 38.2%. There were 619 homes sold in Santa Clara County last month. The monthly average since 2000 is 987.
The sales price to list price ratio fell from 100.4% to 100.1%. Multiple offers continue to be the norm.
Pending sales were down 20.4% year-over-year.
After being down, year-over-year, thirty months in a row, inventory of single-family, re-sale homes was up for the eighth month in a row. It gained 62.6% compared to last year. As of November 5th, there were 821 homes for sale in Santa Clara County. The average since January 2000 is 2,703.
Days of Inventory, or how long it would take to sell all homes listed for sale at the current rate of sales, rose from 37 days to 40 days. The average since 2003 is 89.
It took twenty-eight days to sell a home last month. That is the time from when a home is listed for sale to when it goes into contract.
The median sales price for condos was down 3.1% compared to last October. The average sales price fell 4.1% year-over-year.
Condo sales were down 48.7% year-over-year. There were 218 condos sold in October.
The sales price to list price ratio stayed at 100%.
Condo inventory was up 25.6% compared to last October.
As of November 5th, there were 387 condos for sale in Santa Clara County. The average since January 2000 is 757.
Days of inventory rose from thirty-six to fifty-three.
It took an average of twenty-seven days to sell a condo last month.
If you are planning on selling your property, call me for a free comparative market analysis.
October 2022 Sales Statistics (SCC)
* Total inventory is active listings plus pending listings. Active listings do not include 
pending.
More information is available in our on-line report at http://avi.rereport.com/market_reports
Next Up: More Fed (SCC & SMC)
Oct 28, 2022 — Various central banks across the globe continue to lift interest rates to combat inflation. The European Central Bank lifted their policy rate by another 75 basis points this week and the Bank of Canada kicked their 50 basis points higher as well. The Bank of England is also expected to join in shortly as well. The Federal Reserve also raised rates by 75 basis point, lifting the key U.S. monetary policy rate to about a 15-year high.
With home prices high and mortgage rates both high and rising, sales of new homes slumped anew in September, declining 11% from August to a 603,000 annual rate of sale. At this pace, sales are also now 17.6% below year-ago levels and the prospect for an uptick anytime soon aren’t very good at the moment, as mortgage rates legged up by quite a bit in October. The slowing in sales helped re-bloat inventories of new homes for sale; at the present rate of sale, there’s an 8.1 month supply, with the 462,000 units available representing the most available since March 2008. With such stockpiles, new home construction will need to slow or builders will need to trim prices to move inventory. At least for September, that didn’t happen, as the median price of a new home sold was $470,600, up from $435,800 in August.
The new house market is a fraction of the size of the existing home portion. With conditions increasingly adverse, potential homebuyers are staying away, and the National Association of Realtors Pending Home Sales Index for September shows this quite clearly. The PHSI dropped by 10.2% in September and is now some 31% below year-ago levels. The index’s actual level is now at about a 12-year low, if the hard-stop of the early pandemic is left out of the comparison. Even then, September’s value is only about a little above that level, so very few contracts to buy existing homes were executed last month. Even then, it’s very possible that some of those that were signed will not come to fruition, and it looks like more slowing is ahead for home sales, and that before we get into the seasonal holiday effects that traditionally dampen sales.
New home sales and pending existing home sales were both down last month, and mortgage rates have run up to 20-year highs this month. As such, there are fewer and fewer applications for mortgages being placed. In the week ending October 21, the Mortgage Bankers Association reported another 1.7% decline in requests for mortgage credit, pulled lower by a 2.3% drop in purchase-money mortgages requests as refinance applications remained unchanged from the prior week. The current twenty-year highs for mortgage rates and corresponding twenty-odd year lows for mortgage applications go hand-in-hand.
Call or email me if you have any questions.
For further details and a city-by-city breakdown statistics, go to http://avi.rereport.com/market_reports.
Real estate related Articles
| Silicon Valley Business Journal 10-18-2022 | Bay Area projected to come out on top for economic growth this year: report By Mark Calvey |
| Joint Venture Silicon Valley 10-4-2022 | The Silicon Valley Poll is a scientifically valid survey By Joint Venture Silicon Valley |
| FORTUNE Magazine 9-8-2022 | Mortgage interest rate predictions: Will rates go down in September 2022? |
| The Silicon Valley Business Journal 8-16-2022 | Are hybrid workers more productive? One company did the math. |
California homeowners interested in building accessory dwelling units on their property just caught a break, potentially shaving off thousands of dollars in fees and permits.
In a move proponents say will help ease the Bay Area’s housing crisis, Gov. Jerry Brown on Tuesday signed Senate Bill 1069, making the so-called “granny units” easier and less expensive to build throughout the state.
For more read California eases restrictions on ‘granny units’ and http://www.hcd.ca.gov/policy-research/AccessoryDwellingUnits.shtml
Helpful resource for home owners
Many new home owners or owners who consider remodeling or rebuilding their homes should take advantage of their county Tax Assessor web site. These web site and their respective city building departments web site typically have vest information regarding the process for applying for permits, the impact on their taxes and many other resources that home owners should be aware are available for them.
For the San Mateo County Tax Assessor office visit http://www.smcare.org/default.asp
For Santa Clara County Tax Assessor visit https://www.sccassessor.org/index.php
The Silicon Valley 150 Index Corner
The Silicon Valley’s Real estate market is a derivative of the local economy–it prospers and withers depending on how well the local innovation-based sector performs. The San Jose Mercury News tracks the performances of the largest 150 publicly traded companies headquartered in Silicon Valley through an index called the SV150, which may be found at www.mercurynews.com. Stocks are valued based on several criteria, but one of the more important criteria is a company’s future earnings. Therefore, I see the SV150 as a leading indicator for Silicon Valley’s real estate market.
Investors Corner
S&P CoreLogic Case-Shiller Index Decelerated In August
NEW YORK, OCTOBER 25, 2022: S&P Dow Jones Indices (S&P DJI) today released the latest results for the S&P CoreLogic Case-Shiller Indices, the leading measure of U.S. home prices. Data released today for August 2022 show that home price gains decelerated across the United States. More than 27 years of history are available for the data series and can be accessed in full by going to CLICK HERE
U.S. Housing Markets Moving Into Rent Territory for First Time in Over 8 Years: Report
Is it time to seriously consider investing in real estate?
Signup for my Real Estate Investment Alerts and you’ll receive my real estate investment opportunities.
San Mateo County (SMC): Home Sales Continue Falling, Prices Down
Sales of single-family, re-sale homes in San Mateo County fell for the fourteenth month in a row, year-over-year. They were down 34.2% in October. There were 250 homes sold in San Mateo County last month. The average since 2000 is 398.
The median sales price for single-family, re-sale homes was down 10.4% compared to last year.
The average sales price fell 5.2% year-over-year.
The sales price to list price ratio fell from 100.7% to 100.4%.
Inventory of single-family, re-sale homes was up 67.2% compared to last year. As of November 5th, there were 515 homes for sale in San Mateo County. The average since January 2000 is 1,287.
Days of Inventory, or the amount of time it would take to sell all homes for sale divided by how many homes have sold, rose from forty-seven to sixty-two days.
It took twenty-five days, on average, to sell a home last month. That is the time from when a home is listed to when it goes into contract.
The median sales price for re-sale condos rose 2.6% year-over-year.
Year-over-year, the average sales price rose 0.5%.
Condo sales were down 38.7% year-over-year. There were 84 condos sold last month. The average since January 2003 is 122.
Inventory was up 3.1% year-over-year.
As of November 5th, there were 167 condos for sale in San Mateo County. The average since January 2003 is 350.
Days of inventory fell from seventy-four to sixty.
It took an average of thirty-two days to sell a condo last month.
If you are planning on selling your property, call me for a free comparative market analysis.
October 2022 Sales Statistics (SMC)
* Total inventory is active listings plus pending listings. Active listings do not include pending.
You can get more information at: http://avi.rereport.com/market_reports
Call or email me if you have any questions.
For further details and a city-by-city breakdown statistics, go to http://avi.rereport.com/market_reports.