Silicon Valley North Housing Market- 2016 1st quarter
No one is hinting of a housing slow down because there is a tremondous of funds and jobs in the area. We began see this year a diminsihing return in home appreciation since 2012 Q1 from 20+% YTY appreciation.
A couple of chapters were centered around west Silicon Valley(Los Altos Hills, Los Altos, Palo Alto) followed by Cupertino schoo district. The next chapter dwelled on Central Part of San Jose. Latest was on North San Jose, CA.
Rather lump Milpitas, CA with North San Jose, CA together. I decided to study this city just north of San Jose, CA as I heard the home prices are moving higher than rest of the neighborhood.
Milpitas historical avg home prices(1300-2000 sf)
This report encompasses an area with zip codes of 95035. These single family homes were built during different eras. Some are newer than others. before 1960s. The gross living area is bracketed from 1,200 to 1,999 sf with a minimum 3 to 4 bedrooms and 2 full bath min.
Areal avg price for Milpitas SFH (1300-1999 sf)
We only look for trends like YTY price increase, gla/sf. Each neighborhood home prices are slightly different. Data consists of 1,151 closed sales.
Total listings SFH =22
Inventory: 1.7 month (2.5 month is healthy)
Marketing time=24 days
Avg home(1200-1999 sf)
$893K (Jan-Mar 2016) $799 (1 yr ago) + 11.7%
$576/sf $511/sf +12.7 %
Milpitas last largest industry was Ford Motor Company. They rolled out Mustang in the early 1960s and the plant is now called the Great Mall.
Homes appreciate more than North San Jose neighborhood which had about one half as much as Milpitas. Several regression analyses using different age to see if the newer homes there are driving the home price increase. That is not the case. Both Milpitas and North San Jose have essentially same. If anything 95131 has more new housings that should drive home prices up. (ref to 2016 Q1 San Jose North neighborhoods home prices ).
Sam Shueh Realtor
I've called San Francisco South Bay home for over 37 years. We love this area and all it has to offer, and I enjoy sharing what I know about homes. I documented in several books about Silicon Valley history. I have much expertise in real estate...please give me a call. Silicon Valley Realtor Sam Website (Four-O-Eight) 425-1601