Good morning everyone and welcome to Raymond’s Real Estate Update for Santa Clara County that includes San Jose Real Estate of course! You will read how the market is consistently improving regardless of some major websites I won’t mention. You will also note that I try to stay with facts by only stating actual numbers. Should you want detail for a certain zip code as I have done for a few neighborhoods below feel free to email me and if I have numbers for that particular area I will supply them.
The amount of homes that went into pending status for February 2011 jumped 22.1%↑ over January 2011. I know what you’re thinking…that’s normal right? Yes, it’s normal for more buyers to come out and jump into the market as we get closer to the spring months, but what’s better than that Jan.11-Feb.11 had an increase of 7.3%↑ vs. same months prior year Jan.10-Feb.10! Also, Feb. 11 vs. same month 1 year ago increased by 19.8%↑. In other words we are off to a great start.
While many believe there are many homes on the market when driving down their neighborhoods the reality is inventory is still very low. When you think about there are 1,764,000 people who live here and only 2,380 single family homes available for sale is not very much. The big reason why prices are climbing as you will see below in the graphs for many areas within the Santa Clara County is for that very reason…no supply and big demand.
The absorption rate based on pending sales jumped nearly 8%↑ from Jan. 11 to Feb. 11 now at 50.4%, which means 50.4% of the homes that listed in Feb. 11 went into contract. What’s the big deal you may ask? Well, it topped Feb. 10 by 2.7%, and when you think about the nice summer month September 2010 had only a 29.5% absorption rate. The market is increasingly getting better right before our eyes…it’s too bad there are many out there who still do not realize it.
Take a look at some graphs below showing actual numbers for San Jose Real Estate, Santa Clara Real Estate, Campbell Real Estate, and Los Gatos Real Estate.
Should you have any questions or if you know someone who can use my assistance in the Real Estate Market please do not hesitate to call me at 408-655-7900! In the mean time don’t forget to visit www.raymondchavez.com to connect with me on LinkedIn or Facebook!