May Santa Clara Home Sales Recap
The Santa Clara housing market in May experienced 41 single-family homes that closed escrow, which is 13 more than closed escrow in the previous month of April. For some more perspective, last year there were 47 homes sold in May.
The average price of a home sold in May was $1.7M which is about $61K lower than the previous month’s figure of $1.77M. The median price home sold was $1.68M, about $55K lower than the median price in April.
The average cost per square foot saw an decrease from $1231 per Sq. Ft. to $1142 per Sq. Ft.
Of all the 41 homes sold in May, 32 homes sold over the list price. On average homes that sold did so at 7.62% over asking compared to 9.04% over asking in the previous month.
We started the month of May with 35 active single-family home listings and finished with 34 active single-family homes for sale in all of Santa Clara.
There were 36 single-family homes that accepted contracts in the month of May and 34 new single-family home listings that were listed in April.
For a list of sold homes in May click here or scroll down to the bottom of the page.
Home Sales Down, Market Up
The number of homes for sale in Santa Clara are down for the year.
This is a trend affecting not only our local market but the country in general.
One thing about our current market is that it’s just starting to heat up.
We are seeing homes sell quickly, and many multiple-offer situations with over bidding.
Home Inventory is Dropping
During the summer season, there is often a surge in the number of homes being listed on the market.
More homes are being listed for sale, but they are selling very quickly – usually within a week.
Inventory levels climbed to around 40 a few weeks ago, but are now down to around 30-35 homes.
This time of year we generally see home inventory increasing. This drop in inventory indicates a hot market where buyers are actively buying and absorbing homes faster than they can come on the market.
Altos Research Market Data For Santa Clara
Multiple Offers and Rising Home Values
Lower inventory generally means a tighter market where homes are selling quickly and prices are increasing, and that is the case with our current market.
One easy way to track the market is with the Altos Research – Market Action Index (MAI). The MAI is a proprietary metric that measures inventory and sales activity. The MAI was trending upward indicating that the market is getting stronger for sellers.
MAI has been trending upward in the last few weeks indicating the market is strengthening for sellers.
Santa Clara Market Reports
Home Values on the Rise
Home values under the current low inventory will continue to rise. The number of buyers looking right now are out numbering available homes.
Although mortgage rates are high and haven’t seen any significant drops in the last few weeks, buyers are actively looking and making offers.
Limited inventory and multiple offer situations are motivating buyers to get more aggressive and put in strong offers.
Other Factors Influencing the Market:
Mortgage rates have been fairly steady around 7%.
The FED in its most recent meeting decided to hold rates and not raise the FED funds rate.
The decision did not affect rates as rates stayed relatively close to their existing levels. Moving forward the FED mentioned that more rate hikes should be expected, but the market was unaffected. Signaling that Wall Street may think the worst is over for rate hikes.
Markets Year to Date
The stock market has been rallying as of late into new highs for the year.
Home buyers in our local market rely on tech stocks for their down payment and for their loan qualifications. The impact on stock values affects home buyer affordability and purchasing power.
Since the beginning of the year, the stock market has been rallying with pauses and drops.
Recently the Nasdaq which is a tech-heavy growth stock index has been performing well as investors are bullish that the FED will stop raising rates.
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What to Expect Moving Forward
Buyers, the market is heating up.
If you follow real estate you will know that we are entering the Summer markets where the market typically cools as there are more homes on the market.
However, this year with the lower number of homes coming on the market buyers are finding themselves competing with few options.
If you have been looking for a few weeks you have noticed this trend.
With the current state of rates, stocks, and low home inventory buyers are definitely feeling a bit more confident in the market.
Although the economic news is grim with job losses in the valley still a reality as the country slips into recession, stock values are increasing the wealth of local home buyers.
The weakening of the economy may concern some. The reality however, is a weakening economy means lower rates will come sooner than later, and likely followed by stimulus. Causing the stock market to really catch fire.
Of course all this is speculation, and the FED is doing what it can to downplay the situation.
My advice to buyers is to continue to shop and be very active. The market isn’t showing signs of weakness in spite of the weak economic conditions.
Sellers, generally the Summer is a slow time to sell, but that’s not the case this year.
Currently inventory levels are around 30 homes for sale, which is very low for the Summer months.
Now there is a lot going on right now in the economy. Some foreign economies are in recession, China is doing poorly, and overall you can expect the down to really start hitting the US economy.
We have seen a few bank failures, and more are likely to come.
There could be a situation where we do start to see weakness in the system and the market slows. So there is some risk here.
It all depends on the FED and how they respond.
If rates do drop in the Summer as some expect more buyers to enter the market. This will send the market higher.
My advice to sellers is if you want to make a move especially if you are thinking of making a move to a market where there is more new construction and supply of homes like Nevada, Idaho, and Texas then this market may be a great opportunity.
These markets are much slower than our current market, and in some cases, buyers are able to make contingent offers on new homes allowing them to sell their home before buying their new home.
There are many reasons why selling and buying in this market makes sense. Here is an article I wrote on the advantages of selling in slow markets.
Instead of offering general suggestions here, I would encourage sellers who have questions and concerns about selling in this market to reach out to an agent.
Understanding your specific situation helps in determining how this market will affect you and your options. I offer free consultations to buyers and sellers to discuss their needs, so please reach out, I am always happy to help.
As always, whether you are buying or selling, understanding the current market will set you up for success. As I mentioned above some homes are doing quite well in this market.
Understand that the housing stock of Santa Clara is very diverse and can vary greatly from one neighborhood to the next.
Developing the right strategy for you, whether you are buying a home or thinking of selling your current home is important to succeeding in this market.
If you have any questions about a home on the market or your home’s value, please feel free to reach out, I am happy to meet and help you understand your options.
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Have a question? Interested in setting an appointment to talk about your real estate plans? Contact me today.
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Santa Clara May 2023 Home Sales
|Street Address||List Price||Price||DOM||Beds Total||Bths||Sq Ft Total||Age|
|271 Madrone Avenue||$1,898,000||$2,625,000||6||4||2|0||1,687||60|
|2821 Rebeiro Avenue||$2,350,000||$2,510,000||6||3||3|0||2,067||12|
|150 Harold Avenue||$1,999,999||$2,325,000||5||3||2|0||1,938||81|
|2865 Ponderosa Way||$1,898,000||$2,300,000||6||4||2|0||1,712||62|
|3425 Kenyon Drive||$1,899,000||$2,190,000||10||3||2|0||1,513||63|
|2912 Miles Drive||$2,088,888||$2,150,000||6||3||3|0||2,004||52|
|222 N Harold Avenue||$1,798,000||$2,030,000||8||4||2|0||1,770||68|
|2814 Barcells Avenue||$1,799,950||$2,010,000||9||3||2|0||1,304||68|
|3366 Forbes Avenue||$1,849,000||$1,951,000||6||3||2|0||1,462||62|
|336 Pineview Drive||$1,680,000||$1,920,000||7||3||2|0||1,624||69|
|1751 Franck Avenue||$1,799,880||$1,900,000||41||4||3|0||2,000||0|
|2947 Marietta Drive||$1,685,000||$1,868,000||8||3||2|0||1,465||65|
|3559 Warburton Avenue||$1,950,000||$1,850,000||87||5||3|1||2,554||4|
|2335 De Varona Place||$1,548,888||$1,835,000||7||4||2|1||2,086||31|
|2644 Barkley Avenue||$1,850,000||$1,800,000||36||4||3|0||1,914||67|
|2204 Bohannon Drive||$1,588,000||$1,788,000||1||3||2|0||1,615||71|
|758 Robin Drive||$1,649,888||$1,740,000||8||3||2|0||1,322||73|
|3473 San Marcos Way||$1,450,000||$1,735,000||6||3||2|0||1,212||69|
|1668 Homestead Road||$1,669,000||$1,715,000||5||3||2|0||1,926||108|
|4158 Tobin Circle||$1,649,000||$1,706,000||7||3||3|0||1,590||21|
|2351 De Varona Place||$1,488,888||$1,681,800||6||4||2|1||2,086||31|
|1975 Graham Lane||$1,650,000||$1,660,000||19||4||2|0||1,764||71|
|3580 Druffel Place||$1,499,950||$1,640,000||14||4||3|1||1,993||14|
|3282 Dorcich Street||$1,625,000||$1,625,000||0||4||3|0||1,941||71|
|1735 Townsend Avenue||$1,425,000||$1,620,000||9||3||2|0||1,080||69|
|3177 San Juan Avenue||$1,599,000||$1,610,000||19||3||2|0||1,464||65|
|3571 Shafer Dr||$1,499,000||$1,600,000||14||3||2|0||1,166||69|
|1757 Pomeroy Avenue||$1,399,000||$1,570,000||8||3||2|0||1,080||69|
|2143 Benton Street||$1,399,950||$1,535,000||7||4||2|0||1,493||73|
|2000 Coolidge Drive||$1,449,888||$1,501,800||17||5||3|0||1,728||60|
|3564 Shafer Drive||$1,199,000||$1,500,000||6||3||2|0||1,166||69|
|2551 Robinson Avenue||$1,498,000||$1,500,000||8||3||2|0||1,283||69|
|311 Los Padres Boulevard||$1,299,000||$1,457,000||10||3||2|0||1,080||69|
|2265 Talia Avenue||$1,499,888||$1,452,000||20||3||2|0||1,387||71|
|610 Clara Vista Avenue||$1,299,888||$1,401,000||1||3||1|0||1,080||66|
|3131 Santa Maria Avenue||$1,099,000||$1,331,000||5||3||2|0||1,078||68|
|463 Maria Court||$1,395,000||$1,312,000||34||3||2|0||1,131||72|
|958 Las Palmas Drive||$1,498,500||$1,265,000||22||3||1|1||1,166|
|1253 Cabrillo Avenue||$1,098,000||$1,065,000||13||3||1|0||985||69|
|745 Harrison Street||$899,999||$900,000||3||3||1|0||1,306||25|
|437 Jefferson Street||$799,000||$705,000||84||1||1|0||650||123|
Santa Clara Housing Market Archive
May 2023 home sales CLICK HERE.
April 2023 home sales CLICK HERE.
January 2023 home sales CLICK HERE.
December 2022 home sales CLICK HERE.
November 2022 home sales CLICK HERE.
October 2022 home sales CLICK HERE.
September 2022 home sales CLICK HERE.
August 2022 home sales CLICK HERE.
July 2022 home sales CLICK HERE.
June 2022 home sales CLICK HERE.
April 2022 home sales CLICK HERE.
March 2022 home sales CLICK HERE.
February 2022 home sales CLICK HERE.
December 2021 home sales CLICK HERE.
November 2021 home sales CLICK HERE.
October 2021 home sales CLICK HERE.
September 2021 home sales CLICK HERE.
July 2021 home sales CLICK HERE.
May 2021 home sales CLICK HERE.
April 2021 home sales CLICK HERE.
March 2021 home sales CLICK HERE.
February 2021 home sales CLICK HERE.
January 2021 home sales CLICK HERE.
November 2020 home sales CLICK HERE.
October 2020 home sales CLICK HERE.
September 2020 home sales CLICK HERE.
August 2020 home sales CLICK HERE.
July 2020 home sales CLICK HERE.
June 2020 home sales CLICK HERE.
May 2020 home sales CLICK HERE.
April 2020 home sales CLICK HERE.
March 2020 home sales CLICK HERE.
January 2020 home sales CLICK HERE.