Market Info

What is Going On With the Market?

The Belwood of Los Gatos house on Belblossom Drive was not overpriced in the 9’s, but it hasn’t sold and the price has just dropped like a rock to $799,000. I wish I could buy it myself at that price!

Is this a hint of what is to come?

It might be.

The east side of the Santa Clara Valley and the south county areas have been suffering with a very difficult real estate market these last few months.

Maybe it’s spreading to the west valley communities now too.

For a long time we had a “bifurcated market”. The westside was still hot-hot-hot. Homes in Sunnyvale and Palo Alto were flying off the market. Multiple offers. As is sales. All of that – continuing despite the travails on the poorer side of the San Jose market.

But now it looks like we’re seeing the market stalling out. By early next week we should have the real estate statistics for September, but from my cursory look at homes online and in the MLS in Los Gatos and Saratoga, I see a very noticeable slowdown in sales activity.

In the case of one of my buyer clients, I got an email that he and his wife are going to wait. “The interest rate is .75% higher than I was budgeting”, he lamented.

In a buyer’s market, buyers don’t buy. They wait. They wait for interest rates to improve (by the way, that often happens in the dead  of winter) and/or for prices to improve.

I think what is happening now – hindsight is always 20/20 but figuring out the current market is trickier – is that we are caught in a changing tide. I believe that our “neutral” or balanced market is now falling into a stronger buyer’s market.

If that is the case, prepare for more drastic price cuts in Los Gatos and Saratoga and all of Silicon Valley to get homes sold.

That’s what the buyers are waiting for.

BelwoodOfLosGatos.com

This website is provided by Mary Pope-Handy, a Belwood resident and real estate agent.

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For the HOA site,
and phone numbers for the Cabana or HOA, please visit
BelwoodHomes.org


************************* Mary Pope-Handy
Belwood area resident
Realtor
ABR, CIPS, CRS, SRES
Sereno Group Real Estate
214 Los Gatos-Saratoga Rd
Los Gatos, CA 95030
408 204-7673
Mary (at) PopeHandy.com
BRE License #01153805

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Mary’s other sites & blogs

Live in Los Gatos Blog
Los Gatos neighborhoods, homes & real estate, events, parks, photos, dining, community info

Valley Of Hearts Delight
Santa Clara County Real Estate,
with an interest in history

ValleyOfHeartsDelight blog
Move2SiliconValley.com
Silicon Valley relocation info

popehandy.com
Silicon Valley real estate,
focus on home selling

Silicon Valley Real Estate Report
Silicon Valley real estate
market trends & statistics
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