First Quarter 2017 Market Trends
Wash, Rinse, Repeat – Another Hot Quarter!
Local real estate markets remained strong during the first quarter of 2017. New listings, homes sold, and prices were mostly up year-over-year for Q1. The market is so strong right now one would think it will never end. But looks can be deceiving. Is Silicon Valley’s seemingly unstoppable economy slowing down? A New York Times California Today online article dated March 31, 2017, stated tech employment in the area has dropped 3,200 jobs since hitting a peak in August 2016.
Hardly an economic crash. However, venture capital funding has peaked and has been going down steadily since 2015. Rents hit a peak about a year ago and have dropped 5%. Home sales are still strong, but high-priced homes in most communities are taking longer to sell while low-priced homes sell quickly. Watch the high-end as that is where market weakness shows up first, before moving down to lower price ranges.
In the charts below, you’ll find 15 years of data for annual market activity and median sales price for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact me.