With housing inventory remaining at historically low levels in Palo Alto, Mountain View, Redwood City (April saw a 30% decline) to name but a few, Silicon Valley sellers continue to be in the driver’s seat.
According to the National Association of Realtors, pending home sales hit their pinnacle in April, the highest they’ve been since May 2006. As the peak selling season continues, sellers will continue to see an increase in Bay Area buyers competing for the few homes on the market, driving up sale prices an average of 108 to 115% above asking.
Despite the growing trend for Millenials to buy in other up and coming yet more affordable technological hubs such as Seattle and Boston, Silicon Valley remains the hi-tech headquarter epicenter. Companies the likes of Google, Facebook and others continue to grow and are attracting top-level talent and these well-compensated CEOs, COOs, and upper management make up many of the buyers in the Bay Area housing market.
Sale prices for homes in Menlo Park range from $1 to $2 million, Sunnyvale’s median home price increased 4% in April to $1,420,000 while Mountain View saw its highest median sales price ever in March at $1,835,000. Demand is high, interest rates are still relatively low and time on the market is short.
But as with everything, the tide will turn and sellers will take the backseat to buyers. In anticipation of the inevitable and before interest rates creep much more above the magic 4% mark, now is the ideal time to sell your home to reap the greatest financial rewards.
If you’re even remotely considering putting your home on the market, let’s talk about your options, your home’s value and how The Dawn Thomas Team can help you make the most of sitting in the Silicon Valley Seller’s driver seat!