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2221 Oakland Road #268, San Jose, CA 95131
Almaden Valley is one of the best-kept secrets in Silicon Valley. Homes range from moderate to high end condos and town homes, and from small single family homes to luxury homes with views or golf course access, all at a fraction of the price of similar homes in Los Gatos, Saratoga, and the Peninsula.
Almaden Valley is minutes from 85 and 87, providing access to all commutes. It is a straight-forward commute on 87 or Almaden Expressway to Downtown San Jose and the new Google and Adobe campuses as well as many other tech and financial companies.
Almaden Valley has plentiful opportunities for outdoor activities, from parks to hiking, to cycling, golf, and more.
Cycling – there are a number of cycling routes that can stretch your legs for short or long courses from casual rides along the trails from Almaden Lake Park to loops through deep Almaden Valley into Morgan Hill and Gilroy, and hill climbs to Los Gatos via Kicks, Shannon, and Kennedy roads, and easy rides along the bike path to Down Town San Jose.
Back in May, average sale prices, described in the graph above had climbed 17% year over year compared to 14% in 2017 though only 3.3% this year. Since then, average sales price figures have depended more on the value of homes sold than an over-all trend. Over-bidding has softened somewhat, bringing the average sales to list price ration back below 104% for the first time since November.
The histogram above breaks down the sales in Almaden Valley overt he past 6 months into price brackets. In 2017, the peak of the Almaden Valley market was between $1.2M and $1.6M. This graph shows that peak has shifted to $1.4M to $1.8M. Also, in 2017, the lower end of condominium sales occupied the $600k-$800K region where now they all occur above $800K. It is worth noting that in the first 8 months of 2018, 69 homes sold in the $1.8M to $3M range, the same number as sold in all of 2017.
The second rule of real estate after Location: Timing. Buyers and Sellers need to understand the time trends in the market.
Sellers need to be aware of how long it might take to sell their home. Many variables affect this time, not the least of which is list price. But expecting a bidding war to drive up the price of a $3M home in Almaden is asking for disappointment.
For the buyers, it is important to understand how fast you have to move – not just in responding to a home you like, but in how frequently you need to check the market and how quickly you need to make arrangements to view the home.
In 2017, average days to sell ranged from 13 days for the $1.4M-$1.6M price range to 122 days for the $3M-$5M range. Over the past 6 months, those rates have decreased significantly, with sales in the $1M to $3M market averaging 2 to 2.6 weeks and the luxury market down to an average listing duration of 2 months, indicating a higher demand.
Understanding Price is imperative both form the Seller’s and Buyer’s perspectives.
For the seller, pricing too high can be disastrous. Buyers will focus their attention on lower-priced listings first. So can pricing so low that buyers wonder what is wrong with the property.
Much the current Silicon Valley Market is deliberately priced low to spark interest, often resulting in multiple offers driving the price up as evidenced by the ratios over 100%. However, the high-end properties, the ones that sit on the market a long time in the graph above, those often sell for less than list, sometimes when the sellers give up on waiting for their desired price.
In 2017, the peak of this graph occurred at $1.4M-$1.6M where the ratio was 105.5%. Over the past six months, the peak has shifted to the high-end condo market at $1M to $1.1M and 10.9% above list and another peak for the typical single familky home in the $1.4-$1.8M range with homes there averaging between 7.1% and 9.2% over list.
The accuracy of the information displayed in this site is not guaranteed. The user is advised to conduct their own investigations to validate any information on which purchase or sale decisions are made. Data from the Multiple Listings Service subject to applicable limits on accuracy and content.
Original content ©2018 Brady and Son Realty Team @ KW Silicon City . Referenced images and data subject to originator copyrights.