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October 12, 2008

I have never followed the stock market so much as I have in the last two weeks. [My primary concern is my kids’ 529 college savings plan, where the money is all in an index fund (that’s how CA has it set up).]And I wondered if Los Gatos home buyers have their downpayments in stocks and may also be holding back, so I took a look at very recent sales data to see if there are any new trends.

From my initial study of the pending sales in Los Gatos and Monte Sereno in the 95030 and 95032 zip codes, it does not appear that a slowdown in buying is happening over & above what we were already experiencing prior to the roller coaster ride on Wall Street.

sales initiated Houses Condos
10/1/2008 – 10/11/2008 7 3
10/1/2007 – 10/11/2007 7 3
09/20/2008 – 09/30/2008 4 5
09/20/2007 – 09/30/2007 4 4

It may be that we will see a change in the Los Gatos real estate market that later we’ll attribute to the financial catastrophe that is going on, but right now, I’m not seeing it. Perhaps the Los Gatos and Monte Sereno home buyers have their downpayment readily accessible in cash. (That is the case with my buyers.)