Silicon Valley real estate market comparison: Los Gatos, Saratoga, Cupertino and Los Altos on the Valley of Heart’s Delight blog, SanJoseRealEstateLosGatosHomes.com
Today we’re looking at the real estate market for houses in some of the “west valley” communities along the base of the Santa Cruz Mountains – areas where schools are good, crime is low, residents enjoy scenic views of the hills (or of the valley from the hills, depending on the location) and overall, a highly educated population not too far from Highway 85.
Please hop on over to my Valley of Heart’s Delight blog to check out how the Los Gatos market is doing as compared to Saratoga, Cupertino, and Los Altos.
How far does your money go in Los Gatos, whether 95030 or 95032, and how does that compare to our nearby neighbors of Saratoga, Almaden, Cambrian, Campbell, Cupertino or San Jose, generally? Today I am snagging a chart from my Altos Research Reports which give a good sense of what a million dollars (or other amounts) can get for you in these areas. These charts use LIST PRICES, and remember, the sales prices are often different (frequently more!). Let’s have a look.
Los Gatos 95030
This is the more central part of town, the area closest to downtown Los Gatos and most of it is “in the schools”. Here a million dollars is unlikely to get you a house at all, though it could be something small that needs a lot of work if not in the downtown area…maybe….
Los Gatos 95032
Conversely, although about 1/3 of this area is in the Los Gatos Union School District, most of it is not, and this area is usually (though not always) further out so less expensive for both reasons. Interestingly, the high end prices aren’t so far apart between 95030 and 95032 from this vantage, but the gap widens a lot at the bottom quartile. In 95032 a million will get you a small house, most likely in east Los Gatos (west is a little more expensive, usually) – and it will probably need work. Something to note is that all of the elementary and middle schools in Los Gatos, no matter which school district, are high scoring, high performing institutions. The scores do change at the high school level pretty noticeably. But the improving schools in the further out areas of LG, especially in east Los Gatos, is causing the pricing gap to shrink somewhat.
So in Los Gatos, $1 million is unlikely to get you a house, though it may if it is small and not too close in to downtown (or if you are buying land value).
“The Silicon Valley cities of Saratoga, Los Gatos and Cupertino were once again among the top the 10 cities with the highest median home prices in California during November 2010. Saratoga had a median home price of $1,235,000; Los Gatos, $850,000; and Cupertino, $850,000.”
It is no surprise that these Silicon Valley areas are among the most expensive in the Golden State. Each area has a good number of luxury homes and estates.
Want more info? To check the most current median list price, average list price & other real estate market numbers and trends, please visit my Real Estate Report, which has this data for Los Gatos, Monte Sereno, the Los Gatos Mountains, and all the cities in Santa Clara County plus San Jose as a whole and by area such as Cambrian Park or Almaden Valley. www.popehandy.rereport.com
The Los Gatos real estate market is heating up, particularly in the homes that are most affordable (and featuring Los Gatos Schools) but noticeable in many areas and price points.
Below please find a graph displaying prices and sales (median and average) for single family homes in Los Gatos. This graph uses a 3 month moving average to level out any odd bumps in the data such as seasonal fluctuations.
(image from www.PopeHandy.ReReport.com, a subscription service of mine, and used by permission)
The actual (not seasonally adjusted) “months of inventory” in Los Gatos looks even more dramatic. Below, find the absorption rate for not just Los Gatos, but also Monte Sereno, Saratoga, Cupertino, and the average of all four:
When looked at together, the overall trend becomes exceedingly clear that the market is changing.
Sellers, the market is better now than it’s been in many months. If your home is not getting activity, it’s time to get it in line with the market.
Buyers, it’s still in your camp in many markets, but your advantage seems to be slipping.
No one knows whether the market will continue along this trend or if this is just a blip in the Silicon Valley real estate market landscape. The threat of more foreclosures throughout Santa Clara County will be the thing which can tip this one way or the other.