Predictions for 2013 in Silicon Valley?

Hot! Hot! Hot! Lowest number of homes for sale, lowest interest rates in 30+ years, and a growing Silicon Valley economy, sets up for bidding wars all over the Bay Area. Some basic stats and predictions:

* Average home prices in San Jose and Silicon Valley will be back to 2006 (pre-bust) by 2014!

* Average home price in Silicon Valley is expected to increase 5.7% over 2012

In the last year, most offers have been multiple offers somewhere between 2-10% over last sale in neighborhood.

Now, we are seeing more competition regarding contingencies with sellers challenging buyers to have no appraisal contingency and no physical contingency. A true AS IS- conditional purchase.

For more details on the market – see the graphs below or download the attached PDF on the San Jose to Sunnyvale local market report.

5 Year average sale prices

5 Year average sale prices


As always, if you want to know specifics about your neighborhood, click here and  let me know your questions.