OCT 2023 Stats for Single Family Homes in Santa Clara County are here!
While overall inventory remained the same as September at just over 1 month worth, active homes rose by 3% from this time last month with 821 single family homes available in all of Santa Clara County in October. Pending Sales went down by 7% and Sold Sales up by 4%.
As the 30 year Conforming Fixed Mortgage Rate continued to climb and even briefly surpass 8% at the end of October, many buyers felt the crush and loss of their eligible purchase power; pushing some buyers to the sidelines until mortgage rates come down to a more manageable range.
This affordability ceiling reverberated throughout the month as we saw eligible buyers become a bit more decisive in making offers more quickly to catch the best rates possible; evidenced in the Average Days on Market decrease by 5%, with homes taking an average of 19 days to get into contract in October.
The Average Sales Price went down by 1%, now resting closer to $2.1ML; with the Average Price per Square Foot having gone down by 3%, now resting at $1,089/SF.
The Sale to List Price ratio also went down by 1%, with homes selling closer to 5% over seller’s offer price. For the fact that we’re still seeing multiple buyer competition on homes that are priced well for their location and condition, even with these high interest rates; the housing market continues to be moving and healthy.
That said, it is also clear that a good number of would-be buyers acknowledge their affordability ceiling when rates hit and remain at the 8% level for any length of time. Some relief has been felt from the FED’s decision to not further increase the Prime Rate in November; yet expectation remains strong for no real relief to take place until possibly 3rd Quarter of 2024. Getting inflation back down to 2% is a continued challenge that the FED is determined to meet.
For those homeowners that need to make their move, working with a strategic professional who knows how to navigate and advise within your local marketplace is key. Buyers who can stretch with current high interest rates will benefit most from having more opportunity to negotiate with sellers and less competition that comes as other buyers are forced to the sidelines to watch and wait for rates to come down. Preparation and strategy are key for both sellers and buyers to take advantage of timing and opportunity when it presents.
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.
[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
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