The Silicon Valley is a real estate market somewhat notorious for its competition—its high prices, its growing demand, and its low supply of homes for sale. Buyers are looking, and homes are getting snatched up off the shelf within days of being listed. And that’s not likely to change in 2018. Low inventory, sustained demand, and strong appreciation are definitely on the horizon. Here’s what else you can expect from the Silicon Valley real estate market in 2018.
It’s Definitely a Seller’s Market
If you’re thinking of listing your home, you’ve picked the right time! That low inventory and high demand pretty muchconstitutes a seller’s dream conditions. What that basically comes down to is a lot of buyers without that much to choose from—so you can expect to see some high prices and some lightning-fast sales.
Price your home right, and there’s no way your home will sit on the market for more than a few days. And you may even get multiple buyers bidding over your house.
But Buyer’s Shouldn’t Despair
Yes, prices will be high. It comes with the territory. Yes, interest rates are rising and predicted to climb over 4.3% in the coming years. But there are some good prospects on the horizon for home buyers. Like decreasing unemployment rates and increased numbers of high-tech jobs in the area (hello new Google campus!), which means more and more buyers are not only able to afford those prices, but are also making larger down payments—and carrying overall less debt than in the past.
And if you are feeling a little dismayed by the high price tags, remember that renting isn’t likely to be any cheaper. As long as demand stays high, so will those price tags. Really want to make the best of the market? Consider taking on some roommates after you buy your home and let them make your mortgage payments. New sites like Nesterly can even help match up qualified renters.
How Will the New Google Campus Affect the Market?
There’s a (kind of) new player coming to town, and it’s (another) new Google campus. But it’s going to be pretty different than its existing campuses—this one will be a whole transit village in the heart of Downtown San Jose. And it’s already beginning to affect the housing market in the area.
Previously, demand in San Jose was lower because it wasn’t as convenient to tech centers in Mountain View and Palo Alto… but that’s changing, and so is buyer demand. So those more-affordable prices we were seeing in San Jose are likely to rise!
Learn More About the 2018 Real Estate Market in the Silicon Valley
If you’re thinking of buying or selling a home in the Silicon Valley in 2018, then it’s time to contact Gary & Robert. As your guides to real estate in Santa Clara County, we’re here to help you find the perfect home or successfully list your home.