Real estate markets traditionally suffer from the summertime blahs — but Silicon Valley is not a normal market, particularly in Santa Clara County.
With the housing supply at historically low levels, the median price for a single square foot of residential property keeps rising in several Silicon Valley cities. In Los Altos, a square foot was worth $1,291 in August, up 4 percent from July. In Palo Alto, a square foot was worth $1,499, also up 4 percent; in Sunnyvale, $994, up 7.0 percent; and in Los Altos Hills, $1,412, again up 7 percent.
That’s a 7 percent increase in a single month, a dramatic surge.
Even more unusual is this: While sales have fallen across the Bay Area — largely as a result of the region’s tight housing supply — they have risen markedly in Santa Clara County.
A report issued this week by the CoreLogic real estate information service shows that July home sales were down across the nine-county region — but up 13.0 percent in Santa Clara County from the year before. That was despite the fact that the county’s inventory – the number of homes available for sale – was down about 30 percent from the same period in 2016.
“I’ve heard people say Silicon Valley is the 51st state,” said Mark Wong, an Alain Pinel agent in Saratoga. “We have our own culture and our own economy, and our housing prices defy gravity.”