- Market cooling?
- Price indicators mixes
- Sales decline
- Inventory still low
The Mountain View real estate market may be cooling somewhat from the blistering pace it has been on for over a year. While the median sales price increased from July, the price per square foot and sales price to list price ratio declined. Although, on average homes still sold for nearly 110% of their list price in August. Sales have slowed but there is still not much inventory here.
August’s median sales price was $1,787,500, which was $222,500 or 15% higher than July’s $1,565,000. July’s median sales price, however, was 16% off from June’s. August’s price was also nearly 20% higher than a year ago. August was the first time since October of last year that homes sold for less than 111% of their average list price. August’s 109.7% ratio was nearly 5$ lower than July’s 114.4% but slightly higher than August 2014’s 109.3%. The price per square foot slipped 2%, from $1,089 in July to $1,065 in August. August was still 17% higher than a year ago.
Closed sales fell for the second straight month, from 30 in June to 26 in July and 20 in June. 20 sales also closed in August 2014.
Note that in each of the past several months, pending sales and inventory numbers have been restated (pending sales downward and inventory upward) the following month, so we need to take some caution with the following data. Inventory fell from 29 at the end of July to 25 at the end of August. Even with a pending restatement moving August’s numbers higher, inventory is still low. Pending sales, increased slightly but will likely be restated to reflect a small decrease in sales in August. 27 sales went to contract in July and 31 in August. A 0.8 month supply was available at the end of August.
After spiking to 30 days in July, the average length of time homes were on the market fell back to 15 days in August, more in line with what we have seen for the past couple of years. One year ago, homes were available for an average of 16 days.
Analysis by Price Range
We have changed the price ranges Mountain View beginning this month. Due to the sharp rise in prices over the past year, there have been fewer and fewer homes price below $1 million. The old ranges were under $1 million, $1 million – $1,499,999 million and $1.5 million-plus. The new range are under $1.25 million, $1.25 million to $1,999,999 million and $2 million-plus. The new ranges better reflect the Mountain View real estate market at this time.
Four properties priced under $1.25 million were on the market at the end of August, unchanged from July. Four sales went to contract in August, down from 11 in July. A one month supply was on the market at the end of August. 16% of Mountain View’s inventory and 13% of its pending sales were
64% of inventory and 74% of pending sales were priced from $1.25 million to $1,999,999. Inventory fell four units to end August with 16, while pending sales increased by nine to 23 during the month. The result was a 0.7 month supply of homes in this price range.
In the $2 million and up segment, five homes were actively listed at the end of August, unchanged from July. Pending sales increased from two in July to four in August. That left a supply of about five weeks. This segment accounted for 20% of Mountain View’s inventory and 13% of its pending sales.