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REALTOR®: Santa Clara County Median Home Price Sees Slight Decline

A real estate information service has reported Bay Area home sales were down nearly 40 percent at the close of 2007, with a median price decline of 4.9 percent from December 2006, but median home prices in Santa Clara, San Mateo and Napa counties appear to be the least impacted during December 2007.

A total of 5,065 new and resale houses and condos sold in the Bay Area in December, down 1.2 percent from November, and down 39.5 percent from December 2006, according to DataQuick Information Systems.

The median price of a Bay Area home declined 4.9 percent, from $618,000 in December 2006 to $587,500 last month. Sonoma, Solano and Contra Costa counties saw the largest drop in the median price of all homes, down 21.9 percent, 15.8 percent and 11.3 percent, respectively. Sales of all homes in Santa Clara County were down 39.9 percent, from 2,106 sold in December 2006 to 1,265 sold in December 2007.

The median home price in Napa County stayed at $590,000, while the counties of Santa Clara and San Mateo showed just a slight drop of 0.2 percent from December 2006. The median price for all homes in San Mateo County in December 2007 was $733,000, down from $735,500 in December 2006. The median price for all homes in Santa Clara County in December 2007 was $655,000, down from $656,000 in December 2006.
Much of the decline in overall sales is attributed to the significant drop-off in financing with jumbo mortgages because these mortgages have become pricier and harder to obtain. Also, buyers and sellers are continuing to wait out the housing market turmoil that escalated.

“It looks like most non-essential buying and selling activity has been put on hold until things settle down," said Marshall Prentice, DataQuick president.

Silicon Valley Association of REALTORS® 2008 President Leannah Hunt said demand for housing in the Silicon Valley region remains strong.

“In our area, it’s all about supply and demand. We are blessed with quite a group of buyers looking here,” said Hunt, who is a Realtor with Coldwell Banker in Palo Alto.

Hunt said selecting a knowledgeable and experienced Realtor has become more important in today’s market.

“Knowing conditions of the market is critical, because the market can turn on a dime,” said Hunt.

Hunt said an experienced Realtor can provide valuable assistance to buyers because of the Realtor’s knowledge of the number of homes available, the local economic conditions, available financing and the number of interested buyers in the same category.

For sellers, pricing is always the key and an area where the advice of an experienced Realtor is critical.

Hunt said, “My belief is that pricing at fair market value in today’s market will produce the best results in the shortest period of time.”

The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.

The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.

Variations of this article have appeared in local area newspapers.

For further information, please contact Rose Meily at SILVAR Public Affairs, e-mail , or phone (408) 200-0109.

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