Housing market activity appears to be picking up in Silicon Valley. MLSListings Inc. reports inventory numbers showed gains in February in all five counties served by the multiple listing service when compared both month-over-month and year-over-year. Median prices for single-family homes also rose in all reported counties in both year-over-year and month-over-month comparisons. Though down when compared to the same month last year, home sales picked up from January.
According to MLSListings, whose home counties include San Mateo, Santa Clara, Santa Cruz and San Benito, in the month of February Santa Clara County led the way in year-over-year gains in inventory of single-family homes, with a staggering 49 percent jump. Both San Mateo and Santa Clara counties saw a 23 percent and 22 percent jump, respectively, when comparing month-over-month inventory.
Additionally, new listings dropped in all reported counties when compared to last year's numbers, but all counties saw double digit gains in new listings when compared to last month's totals, with San Mateo showing a 35 percent gain; Santa Clara, a 32 percent gain; San Benito up 20 percent; Santa Cruz up 16 percent; and Monterey up 14 percent.
"Home prices are rising and this is starting to attract sellers. We're approaching the spring season, which is a time when the housing market perks up," said Chris Isaacson, president of the Silicon Valley Association of Realtors.
According to the multiple listing service, the median price of a single-family home in Santa Clara County in February was $950,000, up 19 percent from $800,000 in February 2014. The February median is 15 percent higher than the January median of $824,440.
Sales of single-family homes in Santa Clara County were up 8 percent in February when compared to the month before. Home sales were down 5 percent from a year ago.
"This is great news that inventory is picking up. We have a long way to go as the available housing supply in the region is still so constrained and home prices continue to impact affordability," said Isaacson.
According to the California Association of Realtors' housing market indicator, which measures sales-to-list price ratio, properties are again generally selling below the list price statewide, except in the San Francisco Bay Area, where a lack of homes for sale is keeping sales prices in line with original asking prices. The Bay Area is the only region where homes are selling above original list prices due to constrained supply with a ratio of 104.2 percent.
The average California price per square foot for an existing single-family home was $210 in February 2015, an increase of 2.5 percent from the previous month and a 4.1 percent increase from February 2014. San Francisco County had the highest price per square foot in February at $754/sq. ft., followed by San Mateo ($689/sq. ft.), and Santa Clara ($552/sq. ft.).
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.
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