JUL 2023 Stats for Single Family Homes in Santa Clara County are here!
Active homes rose by 8% from this time last month with only about 800 single family homes available in all of Santa Clara County. This is a far cry from closer to 1400 SFH this time last year as inventory remains tight. Pending Sales are down by 14% and Sold Sales down by 21% from this time last month.
The Average Days on Market didn’t change from this time last month, with homes still taking an average of 17 days to get into contract in July. Diligent Buyers are eager to win homes as they watch the market for new inventory each week.
This is also evidenced in seeing the List to Sale Price went up by 1%, with Buyers now offering closer to 6% over the Seller’s asking price to win the home, often with multiple bidding on homes that are priced well, in good condition and locations.
The Average Sales Price went down by 4%, now resting closer to $2.070ML; with the Average Price per Square Foot having gone up by 3%, not resting just under $1,122.00/SF.
Months’ Worth of Inventory went up 44% from this time last month, now sitting closer to 1½ months’ worth of inventory; yet again, seasonally low for this time of year.
As expected, the FED raised the prime rate by 25 basis points at the end of July. We see the mortgage market responded by raising rates with the 30 year Conforming Fixed Mortgage Rate sitting closer to 7% at the end of July.
The FED made it clear that although headway is being made to ease inflation, he is determined to have it further ease toward the 2% goal. The economy seems to be responding and the hope leans toward the “soft landing” that continues to be pursued to avoid a recession.
That said, there is still a good chance the FED will raise prime rate at least 1 more time before the end of the year, and mortgage rates are not expected to come down for the remainder of 2023. We’ll have a better read on this as we work through our 3rd Quarter and reach the next September FED meeting. In the meantime, Buyers have adjusted to higher mortgage rates and continue to show an appetite for new inventory when it appears to market.
Many would be sellers needing to remain in the Bay Area, lack motivation to give up their current low interest mortgages from what has now been dubbed the ‘unicorn’ years of 2021-2022; when rates rested between 2.5%-3%, when money was cheap and home prices soared. With Buyer demand remaining steady, and low inventory persists, home prices came down and softened a bit within this last year, but appreciation continues, all-be-it slower than during the unicorn years.
For those homeowners that do need to make their move, it’s an excellent opportunity to glean top dollar for your home in this current market; yet best to be strategic and work with a professional who knows how to navigate and advice for your local market and condition of your property. Buyers are more careful as they approach the investment in their dream home purchase these days where every dollar counts and the cost to borrow is high.
If you are ready to discuss next steps for your move, whether a seller or buyer, reach out to me for strategic, diligent, and trustworthy advice. I’ll help you reach your purchase and selling goals successfully. I’ve been having great success with both my sellers and buyers in this market.
[email protected] | 408-207-3130.
Sellers – Jump start with Heather’s Strategic Selling Plan: www.LangesFreeHomeSellerCourse.com
Buyers – Jump start with Heather’s Strategic Buyer Plan: www.LangesFreeHomeBuyerCourse.com
Buyers – Start looking for your dream home the way Realtor’s do: www.LangeHomeSearch.com
#HeatherLangeHomes
#SiliconValleyRealEstate
#SanJoseRealEstate
#SaratogaRealEstate
#SantaClaraCountyRealEstate