Santa Clara County (SCC): Prices & Sales Continued Rising in October
The median sales price for single-family, re-sale homes was up 9.8% compared to last year. The median sales price was $1,998,000.
The average sales price for single-family, re-sale homes was up 7.8% year-over-year. The average sales price was $2,365,860.
Sales of single-family, re-sale homes were up 15.5%, year-over-year. There were 685 homes sold in Santa Clara County last month. The monthly average since 2000 is 987.
The sales price to list price ratio rose from 104.9% to 106.2%.
Pending sales were up 42.9% year-over-year. There are 656 homes in escrow.
Inventory of single-family, re-sale homes was up 7.3% compared to last year. As of November 5th, there were 648 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, fell from 41 days to 28 days. The average since 2003 is 89.
It took nineteen 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.
Condo prices were also up last month. The median sales price for condos was up 3.1% compared to last October. The median sales price was $1,005,440. The average sales price gained 2.8% year-over-year. The average sales price was $1,099,860.
Condo sales were up 7.1%. There were 258 condos sold in October.
The sales price to list price ratio rose from 102.6% to 103.1%.
Pending sales were up 62.3% year-over-year. There are 297 condos in escrow.
Condo inventory was up 21.9% compared to last October.
As of November 5th, there were 39ondos for sale in Santa Clara County. The average since January 2000 is 757.
Days of inventory fell from fifty-six to fifty-one.
It took an average of twenty-five days to sell a condo last month.
If you are planning on selling your property, call me for a free comparative market analysis.
October 2024 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
Choices Ahead (SCC & SMC)
November 1, 2024 — Inflation certainly has cooled over time. This week we got an update on the Fed’s favored gauge of prices, derived from monthly Personal Consumption Expenditures (PCE). Overall PCE prices in September did come in a little higher than forecast, sporting an increase of 0.2% where half that was expected. Even with the monthly gain, the annual rate of PCE inflation dropped back to just 2.1%; several media outlets reported inflation as being nearly at the Fed’s target, but this actually wasn’t the case at all. The Fed tracks so-called “core” PCE prices and targets a 2% annual pace for them. Core PCE increased by 0.3% in September, the fastest monthly clip since April. With prices for goods down for the month and energy costs also declining, stubborn service costs continue to keep the core figure GDP firm. The annual rate of core PCE inflation in September remained at 2.7%, where it has been in four of the past five months. Core inflation isn’t declining; rather, the decline it was enjoying flattened out months ago and hasn’t improved at all since then.
Core inflation failing to continue to move toward target also doesn’t strongly argue that another cut in rates is warranted at the moment.
Reflective of the now-temporarily lower mortgage rates, the Pending Home Sales Index from the National Association of Realtors showed a 7.4% increase for September. This measure of signed contacts to purchase existing homes leads the actual sales figures by a month or two, as it generally takes 45 to 60 days to complete a contract-to-closing process. If we assume that all these contracts make it to closing, and based on September’s 3.84 million annual sales pace, we would see a lift for existing home sales to a 4.12 million pace, which would be the highest since April. However, the effect on sales will probably be spread out over October and November figures, some contracts will not come to fruition and higher mortgage rates in October could also ding the increase, so the bump in sales might only make it to perhaps 4.03 million or so for October. With higher mortgage rates in place during October, it’s likely that the next PHSI will show a decline, and not only due to seasonal effects.
Even with higher rates in place, folks will continue to buy homes. The Mortgage Bankers Association reported a 0.1% decline in requests for mortgage credit in the week ending October 25, with the top-line figure dragged backward by a 6.3% decline in requests for funds to refinance existing mortgages, a fifth consecutive retreat. That said, applications for funds to purchase homes actually rose by 5%, this component’s first gain in a month. It would seem that folks that were hoping to get a loan to buy a home in October waited as long as they could to see if mortgage rates would retreat; when they didn’t, buyers had to pull the trigger on their deals despite higher rates.
The yields that most influence fixed mortgage rates were fairly flat all week, at least until Friday, when they flared higher again. Based on that alone, odds favor another increase in the average offered rate for conforming 30-year fixed-rate mortgages as reported by Freddie Mac. We’ve been undershooting the mark lately again, and would have expected rates to remain pretty level until Friday’s selloff. It would appear few investors have an interest in bonds right now and perhaps not mortgages either, and based on that, we may see another 8-10 basis point increase in rates next week.
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.
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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 Records 4.2% Annua Gain in August 2024
New York, October 29, 2024: S&P Dow Jones Indices (S&P DJI) today released the August 2024 results for the S&P CoreLogic Case-Shiller Indices. The leading measure of U.S. home prices recorded a 4.2% annual gain in August 2024, a slight decrease from previous levels in 2024. More than 27 years of history are available for the data series and can be accessed in full by going to CLICK HERE
for the S&P CoreLogic Case-Shiller Indices. The leading measure of U.S. home prices shows that the upward trend decelerated in April 2024. 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
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San Mateo County (SMC): Prices & Sales Up in July
Sales of single-family, re-sale homes in San Mateo County rose 23% in July, year-over-year. There were 262 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 $2,095,000. It was up 6.3% compared to last year.
The average sales price rose 3.9% year-over-year.
The sales price to list price ratio fell from 107.1% to 105.7%.
Inventory of single-family, re-sale homes was down 1.1% compared to last year. As of August 5th, there were 352 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 thirty-six days to forty days.
It took twenty-one 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 25.3% year-over-year. It set a new record high of $1,141,500
Year-over-year, the average sales price gained 13.6%.
Condo sales were up 8.3% year-over-year. There were 78 condos sold last month. The average since January 2003 is 122.
Inventory was up 35.1% year-over-year.
As of August 5th, there were 200 condos for sale in San Mateo County. The average since January 2003 is 350.
Days of inventory rose from seventy-one to seventy-seven.
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.
June 2024 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.