The Santa Clara County real estate market has now had two months in a row of homes selling for over asking price on average.
As we head into the busy months for Santa Clara County Real Estate – the numbers are showing some interesting trends. For instance, for the last two months, the average home in Santa Clara County has been selling for OVER asking price. Clearly, Buyers have come out to kick off the 2023 buying season and it is showing in the numbers.
Santa Clara County Inventory
Inventory has risen 1% compared to March of 2022. That is a huge slowdown in inventory growth compared to some past months. The total on hand inventory currently stands at 1070.
Santa Clara County New Listings
While YoY the new listings in March 2023 were down by 38%, this was nearly the same change we saw in February. While home owners have not jumped into the market to become Sellers, we are clearly seeing an uptick in the number of buyers coming out for this years selling season.
Santa Clara County Homes Sold
The number of sold homes in March of 2023 was down 39% compared to the same time last year. It is also important to note that in addition to a drop in sales, the number of homes sold also is far fewer than the number of homes listed. This resulted in a net of 354 homes being added to the inventory.
Santa Clara County List Price
The original list price of homes – or the amount that sellers first agreed to list their home for – was up 8.2%. So this indicates that when compared to the same time last year, the average seller is expecting to make 8.2% more than a year ago. This is actually a smaller increase in expectations than we have seen in past months and is a good sign that homes are being listed at more market ready prices.
Santa Clara County Sales Price
As we discuss sales prices for March of 2023, keep in mind the original list price noted above. Overall, the average price of a home in Santa Clara County dropped by 7.7%. So while sellers are expecting to get MORE than last year, they are – on average – getting 7.7% LESS than last year. This will mean continuing price reductions as homes stay on the market longer and longer. The average sales price was $1,727,087.
Santa Clara County Percent Of List Price
While the original list price gives us some insights into what sellers expectations are, the percent of list price gives us a little insight into what buyers are doing when faced with a list price. In this case, the percent of list price is based on what the listed price of the home was at the time the offer was accepted – not what the price might have been when it was originally listed. In March 2023, sellers were getting and buyers were offering 102.3% of the list price.
In March of 2022, that number was 115.3% – so 15.3% over asking price.
Santa Clara County Days On The Market
There is not much nuance in the data relating to days on market. Since April of 2022, they have simply increased each and every month – until last month. In February 2023, the average days on market stood at 33. In March 2023 it dropped further to 25. That is up 127% from the same time last year. As I have mentioned before, I think 30 days is kind of a ‘magic’ number. There is a certain psychology to realizing your home has been on the market for a month without selling. At that point, most sellers will start to re-think their list price if they have not already.
Check out last months analysis