Los Gatos real estate market trends and statistics

Low inventory has been the headline story in the Los Gatos real estate market since last spring. Here’s a multiple year view of single family homes for sale in Los Gatos 95030 and 95032 since January 2015 – I find this to be enlightening since any one year can be an anomaly. The chart below shows us that the average inventory for Los Gatos in August can vary, but usually sits somewhere between the low to high 70s. This August fell well below that range with only 51 active listings, the lowest across all visible years!

Seasonal trends for 2020 were thrown completely off shortly after the lockdown order. Inventory never grew to the expected level last spring with available listings consistently shrinking from May through January and hardly any growth in spring 2021!

 

Active Inventory August 2021 Los Gatos 95030 & 95032

 

The ultra low number of listings is due to many factors, one of them being the current coronavirus pandemic and health and safety concerns. For a look at how Covid-19 affected the local real estate market today, please check Coronavirus Impact on Real Estate Sales on my other blog.

Covid restrictions have mostly been lifted, and Silicon Valley remains in a hot seller’s market with limited inventory. If you’re interested in selling your home this year, check out my article on how to Sell Your Home in 2021. When you’re ready to talk to an agent I would love to hear from you!

What is selling best in LG right now?

In general, single family homes listed at or under $2.5 million are selling well, with their sales averaging around 6.7% over list price in August. Those listed upwards of $3 millions are also frequently selling above asking with an average of roughly 4.4% above list price in August. Even so, there are exceptions in both groups.

Certain things can skew the data. For instance, a home in Los Gatos listed just under $2.2 million took 33 days to sell, but sold around 4.6% below list price, while another listed shy of $4 million sold nearly 17.5% above asking (over $700K over) in just 7 days! When planning to buy or sell, it’s best to look at the data within a mile of your home (or the one you want to buy), and across similar properties, excluding the sales which aren’t comparable.

By the numbers: Of the 46 single family home sales in Los Gatos (not including the mountain market) in August on the MLS, none sold under $1 million, 5 sold under $1.5 million, 9 sold between $1.5 and $2 million, 13 sold above $2 and below $3 million, 10 sold between $3 and $4 million, 7 sold over $4 to $5 million, and 2 sold between $6 million and $7 million!

The high end price point tends to be around $3,000,000 and up for this part of Santa Clara County, although it’s been creeping upwards with the overly hot market we’ve been experiencing. The vast majority of what sold would not be considered luxury properties, even though in most areas of the U.S. these would be luxury price tags.

Los Gatos real estate statistics at a glance for 95030 & 95032

Next, data from the RE Report for Los Gatos (“in town”), in the Los Gatos Mountains, and for Los Gatos condos (only in town, none in the mountain communities) – the entire Los Gatos real estate market combined. Below that are the live Altos Research charts, updated automatically each week. Altos uses list prices, not sold prices.

The numbers below analyze data gathered during the first week of each month and cover real estate statistics from the month prior in Los Gatos 95030 & 95032 (all areas / school districts), or MLS “area 16”. See the full RE Report here.

Trends At a Glance Aug 2021 Previous Month Year-over-Year
Median Price $2,950,000 (+3.5%) $2,850,000 $2,475,000 (+19.2%)
Average Price $3,253,780 (+0.9%) $3,224,100 $2,944,000 (+10.5%)
No. of Sales 40 (-7.0%) 43 44 (-9.1%)
Pending 55 (-6.8%) 59 41 (+34.1%)
Active 50 (+8.7%) 46 55 (-9.1%)
Sale vs. List Price 105.4% (-3.0%) 108.6% 100.9% (+4.4%)
Days on Market 20 (+66.8%) 12 31 (-35.2%)
Days of Inventory 38 (+16.8%) 32 38 (0.0%)

Prices for Los Gatos real estate haven’t changed much month-over-month, but compared to last year they’ve risen about 10%-19%! Last year’s market had a higher number of closed sales and active listings, but fewer pending sales. Compared to last month, closed and pending sales fell short while active inventory grew. The sales vs list price ratio fell significantly month-over-month, although still well above last year at a red hot 105.4% of asking.

Overall, despite some seasonal cooling it remains a busy seller’s market in Los Gatos, likely impacted by pent up demand from last year.

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