Luxury home sales in Silicon Valley soared last month to their highest level since early summer as the high-end market continued to gain momentum, according to Coldwell Banker Residential Brokerage, the South Bay’s leading provider of luxury real estate services.
A total of 232 homes sold for more than $1 million in Santa Clara County last month, up 39 percent from last November’s total of 166 transactions. Sales were also up 44 percent from the previous month.
The median sale price of a million-dollar-plus home also showed solid improvement climbing to $1,387,500, up 5.3 percent from the same month last year and 2.7 percent from October’s median.
Other indicators also painted a picture of a healthy high-end market. The upper end of the market in particular showed positive trends with sales over $2 million more than doubling in November compared to the previous month and year ago. There were 46 multi-million-dollar transactions, up from 17 last year and 23 the previous month.
Additionally, there were 14 sales of more than $3 million in November compared to jut four the previous year and five the month before. And Silicon Valley recorded its highest price MLS sale since before the Wall Street crash when a Los Gatos home closed for $12 million, the highest price since June 2008. The figures don’t include private, off-market transactions.
The figures were derived from Multiple Listing Service data of all homes sold in Santa Clara County for more than $1 million last month and year to date.
“There’s no doubt that Silicon Valley’s luxury market continues to fare extremely well compared to the overall market,” said Rick Turley, president of Coldwell Banker Residential Brokerage. “There are a lot of well-healed, highly motivated buyers out there who see good value in Silicon Valley properties and want to act now. The only downside is that there just aren’t enough homes on the market to meet the demand.”
Turley said that the high-end market often leads the way for the overall market in the early stages of housing recoveries, and this appears to be the case in the Bay Area. Additionally, he noted, recent economic reports could help increase the market’s momentum going into the new year.
“We’ve seen better than expected numbers from the job market, especially in Silicon Valley, along with consumer confidence, and consumer spending,” he said. “If the economy continues to get stronger, that bodes well for the housing market as we enter 2012.”
- The most expensive sale in Santa Clara County last month was a six-bedroom, 11-bath 14,250-square foot home in Los Gatos that sold for $12 million;
- Los Altos boasted the most million-dollar sales last month with 51, followed Palo Alto with 46, San Jose with 41, Cupertino with 24, and Los Gatos with 21;
- Homes sold in an average of 54 days on the market compared to 40 the previous month and 49 a year ago;
- Sellers received on average 99 percent of their asking price, the same as the previous month and up from 98 percent a year ago.
The Silicon Valley Luxury Housing Market Report is a monthly report by Coldwell Banker Residential Brokerage, a specialist in high-end real estate sales. Through its internationally renowned Coldwell Banker Previews® program, the company is recognized around the world for its expertise in the luxury housing market.
Coldwell Banker Residential Brokerage serves Santa Clara County with 21 offices from Palo Alto to Hollister. For more information, please call 925-275-3085.