real estate market
How’s the real estate market in Belwood of Los Gatos, Belgatos, Surmont, and adjacent areas in east Los Gatos? I thought my neighbors might enjoy seeing how the first three quarters of 2019 have been going. The Silicon Valley real estate market has been decent in 2019, but not like the first half of 2018, which was the peak of the market. You can get info for all of the town’s realty market conditions here (on the Live in Los Gatos blog): Los Gatos real estate statistics and market trends. The map below represents homes for sale (green houses), pending (orange house – hard to see since a red one is on top of it – far left side of the image), and properties which are sold and closed (red houses). They are fairly well spread out.
Most of the sales, 9 out of 12, were sold for between $1,615,000 and $1,960,000. Two properties sold in the low $2 millions, and one, a large home with acreage, sold for $3.1 million.
In the image below, DOM stands for Days on Market, meaning the number of days between when the house was listed on the mls and seen publicly to when it was a contingent or pending sale. Of the 12 sales, 5 sold in 14 days or less (the 0 for one of them suggests an off market sale). Four others sold within 1 month. With 75% of the solds here pending within a month, it’s a pretty decent real estate market in this corner of Los Gatos.
The houses which usually sell the fastest have a few things in common.
- they are priced aggressively, usually a little low
- they show well – uncluttered, cleaned,in good shape / updated (or remodeled), and frequently professionally staged
- they are easy to show (short notice or vacant “go direct”)
- they are well marketed with professional photographs (after price, photos are the most important element to a successful marketing campaign), solid pre-sale inspections
Want to buy or sell a home in the area in the coming months? Please reach out to me – I’m happy to meet with you confidentially, no obligation, no pushing ever.
Interested in nearby areas in Santa Clara County? Check out neighborhood descriptions and real estate markets for various areas such as Almaden Valley, Cambrian, Campbell, Saratoga, Willow Glen, Cupertino, and more at the Valley of Heart’s Delight blog (https://sanjoserealestatelosgatoshomes.com/).
You’ve probably heard that home prices in Silicon Valley generally and Los Gatos specifically peaked earlier this year and have been coming down significantly since then.
How is the market today in our corner of Los Gatos with Leigh High School? Here’s a breakdown of single family home sales in the last 90 days, broken into 4 pricing tiers, starting with the most expensive homes. (I crunched this myself on the MLS tonight.)
It’s interesting too note that most homes are about 50 – 60 years old. Lot size and home size are the main drivers within these parameters. The home’s condition makes a big difference, of course. Properties that are in original or fixer condition will sell for a lot less than those which have been fully or largely remodeled.
If you focus on the sale price to list price ratio, it looks like the hottest segment of this market is in the low $2 millions.
Also curious to me is that the bottom 3 tiers rise in terms of home and lot size and price at an almost predictable pace, while that upper tier is out in the stratosphere by comparison.
Thinking of downsizing?
This info is also interesting if viewed through the lens of someone who may be ready or interested in down sizing. If your home about 2500 SF on a 10,000 SF lot and you’re thinking of “right sizing” to a 1500 SF home on a 6,000 to 8,000 SF lot, how does that shake out? Perhaps your current home would sell for $1.8 to $2 million if all fixed up / remodeled and so on. The replacement home, if you were to stay here in Los Gatos, would be perhaps $1,500,000. After paying off any mortgage balance, closing costs, and capital gains taxes, is such a move worth it? Perhaps not.
If you go across the border to Cambrian for downsizing, that 1500 SF home on a smaller lot will run about $1.3 – $1.5 million today, depending on lot size and condition. Again, that’s probably not a steep enough drop to make it worthwhile for most people after all the other costs are factored in. Hence, may retirees move to places like Sacramento (or nearby: El Dorado Hills, Roseville, etc.), San Luis Obispo, or perhaps where grown kids and grandkids live, if they have been priced out of the market here.
Interested in buying or selling a home in east Los Gatos (or anywhere in Santa Clara County)? Please shoot me an email and we can set up a confidential, no obligation consultation.
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