As they see home prices rising, Silicon Valley's sellers are becoming more motivated. MLSListings Inc. reports year-over-year and month-over-month inventory levels rose in June in all reported counties for single-family housing. Median prices of single-family homes are also up from last year, though appear to be stabilizing compared to the previous month.
Among the five counties the MLS serves, Monterey County had the largest month-over-month growth in inventory rising 21 percent from May, followed by San Benito County, 12 percent, and Santa Cruz County, 9 percent. Month-over-month inventory in both San Mateo and Santa Clara County is still tight, only rising 1 percent and 2 percent, respectively, from May.
Meanwhile, Santa Clara County led the way in year-over-year inventory gains with a 32 percent jump single-family homes for sale in June. Inventory rose 20 percent in Monterey County, 13 percent Santa Cruz County, 11 percent San Mateo County and 4 percent San Benito County.
When compared to May, June closed sales rose in all five counties served by the MLS – from up 9 percent in Santa Clara County, 10 percent in San Mateo and San Benito counties, 13 percent in Monterey County to an increase of 18 percent in Santa Cruz County. Sales also saw a significant increase from June 2014, except San Mateo County, where sales were down 5 percent.
Median prices for single-family homes, while well up from last year, appeared to be stabilizing in June when compared to the previous month. Month-over-month June median prices inched up in San Benito and Santa Cruz counties, were slightly down in Monterey and San Mateo counties. The median remained virtually the same in Santa Clara County, at $1,000,000 in June, compared with $997,500 in May.
According to the MLSListings report, the recent median price trend paired with strengthening inventory helped the strong finish to this year's selling season in the five-county region.
Analyzing the trend and variance in inventory compared to prior years, Chris Isaacson, president of the Silicon Valley Association of REALTORS®, said, "We are still way below in our inventory at this time of year. Santa Clara County's inventory is 46 percent below the June 2003 inventory, but since June 2013, inventory has been steadily rising, and that's a good sign. Other than in June 2009, home sales have registered in the positive in the month of June since 2007."
"In all, we are recovering well from what has been described as the worst economic downturn since the Great Depression," added Isaacson.
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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