Updated July 2019
Mountain View, home to Google, is a very desirable community with top schools, convenient access to freeways and CalTrain and a fun downtown area on Castro Street. Click here for additional description of Mountain View.
Mountain View homes primarily fall into the $1.5M to $3.0M price range with close to 60% being 3-bedroom homes. The above chart shows the distribution single family residences by price range and number of bedrooms.
The annual average median price has declined 5.1% YTD in 2019. It had previously jumped 17.8% in 2018 after a 14.8% increase in the prior year. Prices rose 14% to 16% per year during 2012-15. The annual increase in the median price for Mountain View homes has averaged 7.7% per year since 1998 (CAGR). Note that the only decline in prices over the past 20 years was during the Great Recession (18%).
Market demand for Mountain View homes declined significantly in the first half of 2019. Average Days on Market jumped from 15 days to 23 days, a 50% increase. The average difference between the final sales price and the current list price also declined significantly from 7-10% over list to just 1.6% over list. Still a relatively strong and healthy market that is a return to normal, assuming this isn’t the beginning of a continuing decline.
The supply of new listings for Mountain View homes continues to be relatively consistent at just under 300 homes per year. The number of closed sales is currently running 15% lower than the first half of 2018. This further supports the reduced market demand.
The final sales price continues to average more than the current list price, but has fallen from around 10% over list to 2-3% over list. Note the shift in sales after 10 days to most being under the 10% over list line. This reflects a decline in the number of offers received and less need to bid-up the price.
The above chart shows both the distribution of home sizes and how the $ per SQFT varies. Each dot represents one closed sale during 2018.
The quarterly median price shows more volatility since the beginning of 2018. Shows the jump in prices during 1H2018, then the 2H2018 slow-down. I suspect it will level-off in 2019.
This monthly view of median prices for Mountain View homes provides more detail, however fluctuations may reflect smaller number of sales due to seasonal cycles: holidays, school, summer vacations.
The monthly average days on market shows a significant increase starting in the summer of 2018 and is slightly higher even today. These levels are higher than we’ve seen over the past seven years.
The monthly average sales price over/under list price percentage shows the sharp decline starting in mid-2018 from 10-15% over list to under 5% over list. A return to historic levels as seen in the Annual Supply chart above.
The inventory of Active listings has been at 7-year highs during Apr-June. The supply of new listings remains constant, the increase in inventory reflects a lower market demand.
The monthly supply of new listings for homes in Mountain View has been relatively constant (see Annual Supply chart above) and virtually the same 1H2019 to 1H2018. Note the seasonality with December typically being the low-point during the year. The “high-season” for new listings is typically Feb-Apr.
The number of Closed Sales has declined significantly (15%) during 1H2019. Given the supply of new listings is constant, this must reflect lower demand.
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.