The Silicon Valley real estate market is experiencing a “V-shape” recovery. The chart above shows the 4-week trailing average for listings going into contract for Santa Clara county. Our current 4-week average is the same as this time last year!
The supply of New Listings is recovering, but still lagging last year. Our current 4-week average is 22% below this time last year.
The lagging supply of New Listings has resulted in significantly lower inventory of Active Listings. The chart above shows the number of Active Listings in Sunnyvale over the past two years. The current inventory is about 30% lower than this time last year.
Market demand remains strong. In Sunnyvale, one-half of the listings over the past 4 weeks (since Memorial Day holiday weekend) have sold (entered into contract) with an average of 7 days on market (one weekend). The unsold half has an average of only 9 days, so most are relatively new to the market.
Home prices have also remained strong during this year. The median price for a home in Sunnyvale is 8% higher than this time last year. No big downturn in prices for buyers, just fewer homes to chose from.
The feeling on the street is that there is significant “pent-up” demand with a lagging supply of New Listings. I expect the listings to ramp-up over the next 4 weeks as Sellers see that the demand is there and it’s OK to get into the market.
Send me an email if you would like help with buying or selling your home.
Compass, DRE 01877044