This is a market update for February 2016.
Why is it important to look at the real estate statistics and the economy? There is a direct correlation between the consumer confidence in the economy and job growth. Here in the Silicon Valley the economy and housing values are continuing to increase. Home values are at an all-time high in the Silicon Valley and that drives more and more buyers to Morgan Hill, Gilroy and Hollister.
The absorption rate in Morgan Hill is approximately 4 months. The absorption rate measures how many months it would take to exhaust all inventory at the current sales pace. The median Sale Price dropped slightly compared to the same period 1 year ago but compared to last month it is up from $731,000 to $773,000.