Cupertino is the home to Apple and its new “space ship” headquarters. Top-rated schools and easy access to 280 and 85, makes Cupertino a very desirable city in Silicon Valley.
The chart above shows the distribution of prices for single family residences in Cupertino during 2017. Most of the homes are selling in the $1.5M to $3.0M price range.
The annual median price rose 11.8% in 2017. The annual increase has averaged 6.4% over the past 20 years (CAGR).
The above scatter chart shows the distribution of both home sizes (SQFT) and $ per SQFT for Cupertino homes in 2017. Each closed sale is represented by a single dot. Note that $/SQFT varies by home size.
Market demand for Cupertino homes continues at an all-time high. The annual average Days on Market (red line) are at 20-year lows as is the final sales vs. list price.
This scatter chart above shows how the sales vs. list price varies from the annual average of 9.8%. Note how homes that sell after one weekend on the market typically for up to 25% over list price. Each blue dot represents a home sale in 2017.
The annual supply of new listings in Cupertino homes has declined from around 750 per year in 2002-04 to 256 in 2017. Home values would be rising rapidly even if the number of Buyers per year remained the same (it’s not).
A view of the quarterly median price provides some insight to how the current market is moving. Note how the rate of appreciation increased significantly in early 2012.
This monthly view of median prices for Cupertino homes provides more insight into the ebb and flow of our real estate market. Keep in mind that the monthly fluctuation may be due to a change in the mix of homes selling in a particular month, not necessarily changes in home values.
The inventory of Active listings is significantly lower due to reduced supply of new listings and strong market demand that results in homes selling quickly. Note that there was around 35 Active listings during 2012, which is now about half that number.
The above chart shows the monthly supply of New Listings for homes in Cupertino. Note the seasonality with December typically being the low-point during the year. Also note how 2017 was even lower than the previous five years.
This Days on Market chart shows the monthly average for Cupertino homes sold. The spikes are typically in Dec-Jan during the slowest time of the year. Keep in mind that the majority of homes sell within 10 days (after one weekend on the market).
The monthly average sales price over/under list price percentage provides a little more insight into how the current real estate market is moving. Note the significant dip in 2016. I suspect this was due to China increasing restrictions on moving cash to the U.S. and the huge drop in the China stock markets.
Interestingly the monthly number of Closed Sales appears to be relatively consistent.
Sources: The data above is obtained directly from MLSlistings, the multiple listing service (MLS) serving Santa Clara and San Mateo counties. The information is deemed to be accurate, however is not guaranteed.