Los Gatos real estate market trends

How's the Los Gatos real estate market? How are Los Gatos Real Estate Market Trends?The Los Gatos real estate market trends are mildly in the seller’s favor “in town” (95030 and 95032, MLS area 16) and mildly in the buyer’s favor in the mountain areas (95033).

As always, the homes selling fastest are in “turnkey” condition, have no location issues, and are priced a little low or right at the perceived market value, and not aiming too high on the list price.

First, some data from Altos Research, with data based on currently listed properties (not sold homes) by zip code. This will automatically update each week.

 

Los Gatos 95030: schools and downtown proximity

 

 

The chart above represents 95030 in Los Gatos (only, not Monte Sereno). If you’d like to see the FULL weekly report, use the following link and save it, as it will be updated automatically every 7 days:

Altos Research Weekly Report for Los Gatos 95030

This part of Los Gatos has the Los Gatos Union School District and features locations closer to downtown Los Gatos than 95032 or most of 95033 (the Los Gatos Mountains area). For that reason, it’s a little pricier than other parts of town. With the higher prices come a bit slower of a real estate market, so here Altos says that it’s a market only slightly in the seller’s favor.

 

Los Gatos 95032: schools and commute

 

 

The 95032 zip code in Los Gatos is more complicated than 95030 for a few reasons. First, part of it is in the Los Gatos Union School District, part is in the Campbell Union School District (west Los Gatos near the Saratoga and Campbell borders), and part is in the Union School District (shared with the Cambrian zip code of 95124 in San Jose). All are good to great schools at the elementary and middle school level. At the high school level, Los Gatos High will have a little more draw due to stronger scores than Westmont or Leigh High (in the Campbell Union High School District), so that part of 95032 will sell for a bit more.

Altos Research Weekly Report for Los Gatos 9503032

Additionally, since west Los Gatos is closer to Cupertino and Apple, and other high tech employment centers, that side of 95032 will sell for a little more than east Los Gatos – though that could change with the new Google complex in downtown San Jose.

 

Inventory for Los Gatos 95030 and 95032 (MLS Area 16)

 

Below please note the history of the Los Gatos inventory of single family  homes from January 2013 to the present. The number of listings on the market is not so huge (home buyers can attest to this), but there’s a common misconception that inventory is bloated. That’s just not true.

 

Los Gatos Inventory of single family homes 2019-9-12

Los Gatos Inventory of single family homes 2019-9-12

 

 

Los Gatos 95033: mountains, schools, and affordability

 

 

The Los Gatos Mountains area of 95033 enjoys great schools, clean mountain area, and a lot more house for the money than you’ll get “in town”. (There are some challenges, so it’s a trade off.) This is mostly a county pocket, and not part of incorporated Los Gatos, though some close in areas, such as Montevina Road, are both 95033 and “in town”.

Note how much lower the median list price is (as well as the price per SF) as compared to either 95030 or 95032! When many websites aggregate home prices in Los Gatos, they include 95030, 95032, and 95033 – the last one pulling the median or average price down to artificial levels if the consumer sees it thinking it’s an “in town” price.

This area also enjoys a slight buyer’s advantage right now. Most of the time, homes in 95033 have much longer days on market than homes in 95030 & 95032. Right now, though, it’s moving better than 95030 overall – probably because of the extremely high average list or sale price. It might be that if you compared homes listed between 1 and 2 million in these 3 zip codes, the marketability would look different.

Altos Research Weekly Report for Los Gatos 950303

 

Inventory of homes for sale in the Los Gatos mountains

Currently, inventory is lower in the mountains now than in most of the recent years.

 

Los Gatos Mountains inventory 2019-9-12

Los Gatos Mountains inventory 2019-9-12

 

Real estate sales in town and in the mountain areas of Los Gatos

 

Los Gatos “in town”

 

First, monthly sales of single family homes in Los Gatos 95030 and Los Gatos 95032. From 2013 to 2018, August sales averaged 33.33. This year it was 26. For July, the 6 year average was not a lot higher: 40.33.  Yes, sales are down a little. The gap is larger if you look at 2013-2015 only.

 

 

Los Gatos sales by month 95030 and 95032

Los Gatos sales by month 95030 and 95032

Los Gatos Mountains

 

Here are the sales numbers for Los Gatos 95033 – as is easily visible, says are down very significantly in this part of Santa Clara County.

 

 

Los Gatos mountains sales by month 95033

Los Gatos mountains sales by month 95033

 

Fewer sales: what does it mean?

A few years back, when prices were rising rapidly throughout Santa Clara County, a Realtor commented that “smaller numbers of buyers are propping up the values“. That stuck with me and is a true assessment of what happens as people either get buyer fatigue or get priced out of the market. It only takes one buyer capable and willing to pay a high price to create a new high price in a community. When you have it happening consistently, even if it’s a small pool of buyers willing to pay the high prices, collectively, those determined buyers bring values up.

Now, though, buyers are voting with their feet and also with their softer offers. Is it seasonally normal or are we going into a correction? It’s hard to tell because normally the market does soften the second half of the year. And even in great markets, there are plenty of ups and downs. I would say we’ll have to watch and see.

 

What is selling fastest in Los Gatos?

Turnkey houses in areas with no issues and no major repairs or updating needed are selling fast. This is even more true if they are nicely remodeled and priced appropriately or a little under market value. Examples of issues include being too close to high voltage power lines or other negative elements. And, of course, they are in the lower pricing tiers of appx $2 million or less (or a little more, but under $3 million).

The highest priced homes over $3 – $5 million will sell better if they are in the Los Gatos Union School District. In a normal market, it is especially challenging to sell a very high end home in east Los Gatos with Leigh High, both because at that price point most home buyers want Los Gatos High, but also it’s a further commute to most employment centers closer to Palo Alto.

School districts aside, there will always be homes that are having trouble selling. Some of these properties have not been updated, have been over-improved for the immediate neighborhood, or were overpriced. Often the over-pricing is because of bad comps (market comparables), such as using numbers from a hot spring market instead of the cooler summer or fall / winter market, or when things like differences in lot size or school district within a neighborhood are not considered in pricing. It’s an easy mistake to make as the market is shifting.

The ultra luxury market over $5 million often struggles, though, no matter what school district it’s in. There just are not a lot of buyers wanting to spend or able to lay out that much money.

Resources for the Los Gatos Real Estate Market Trends

Here are some resources to help you better understand the statistics and market direction for our beautiful town, updated frequently:

A great overview of the statistics for the town of Los Gatos 95030 & 95032 can be found on my Real Estate Report by navigating to Los Gatos and then under “zips” choose which part of town you want to understand better. Or view the same report on my Live in Los Gatos Blog.

On my Live in Los Gatos Blog, you’ll find an article updated often which considers the Los Gatos months of inventory, or the absorption rate, by price point and high school district. Here it is extremely clear that we have a consortium of realty markets, not just one market per se.

Additionally, I have a subscription to Altos Research, which provides market data based on currently listed homes for sale.  Altos displays info by zip code, and those charts will be posted below.  They are automatically updated each week, so please bookmark this page and return often.

Altos Research: Los Gatos 95030

90-day stats for Single Family properties in
LOS GATOS, CA 95030 as of September 20, 2019
Median List Price:$3,280,462Average List Price:$3,859,982
Total Inventory:32Price per Square Foot:$1,069
Average Home Size:3,430Median Lot Size:32,946
Average # Beds:4.27Average # Baths:3.86
Homes Absorbed:3Newly Listed:2
Days on Market:83Average Age:57

 

90-day stats for Condo properties in
LOS GATOS, CA 95030 as of September 13, 2019
Median List Price:$2,028,346Average List Price:$2,033,987
Total Inventory:2Price per Square Foot:$971
Average Home Size:1,996Median Lot Size:n/a
Average # Beds:3.00Average # Baths:2.73
Homes Absorbed:0Newly Listed:0
Days on Market:43Average Age:39

 

Median List price of homes for sale in Los Gatos

 

 

median inventory of Los Gatos real estate - active listings

 

 

Los Gatos CA days on market

 

 

Call Mary Pope-Handy, Realtor, at 408 204-7673 to buy or sell homes in Los Gatos, San Jose, or Silicon Valley

 

 

Los Gatos real estate market trends

 

 

Altos Research: Los Gatos 95032

90-day stats for Single Family properties in
LOS GATOS, CA 95032 as of September 20, 2019
Median List Price:$2,535,308Average List Price:$3,222,321
Total Inventory:44Price per Square Foot:$879
Average Home Size:2,697Median Lot Size:11,879
Average # Beds:4.02Average # Baths:3.47
Homes Absorbed:5Newly Listed:4
Days on Market:77Average Age:49

 

 

90-day stats for Condo properties in
LOS GATOS, CA 95032 as of September 20, 2019
Median List Price:$1,175,462Average List Price:$1,109,027
Total Inventory:19Price per Square Foot:$772
Average Home Size:1,406Median Lot Size:n/a
Average # Beds:2.52Average # Baths:2.28
Homes Absorbed:2Newly Listed:2
Days on Market:35Average Age:43

 

 

Los Gatos real estate market trends

 

 

 

 

 

 

median per square feet

 

 

Meading Los Gatos Market Heat

 

 

Los Gatos Mountains 95033

90-day stats for Single Family properties in
LOS GATOS, CA 95033 as of September 20, 2019
Median List Price:$1,603,738Average List Price:$1,923,834
Total Inventory:45Price per Square Foot:$581
Average Home Size:2,851Median Lot Size:127,287
Average # Beds:3.82Average # Baths:3.14
Homes Absorbed:3Newly Listed:3
Days on Market:105Average Age:42

 

 

Why do you get so much more home for your money in Los Gatos than in a similar place like Los Altos? Why are the Los Gatos Real Estate Market Trends milder than Palo Alto or nearby?

Silicon Valley has a  concentration of high tech jobs close to Palo Alto, Mountain View, Sunnyvale and nearby, plus many others in Santa Clara, north San Jose and Cupertino.  Los Gatos is not the “closest in” for most of these companies (Netflix excluded!).  Traffic here is pretty terrible, especially on highway 85, so being a little further out has kept the Los Gatos housing market somewhat less in demand than our neighbors to the north like Cupertino and Los Altos. This is especially true for east Los Gatos, which is more dependent on Highway 85 south of 17. Even so, it’s not a far commute to Apple.  With everything that this town has to offer, prices here are really a very good deal for what you get!

For more information on the Los Gatos real estate market trends which are relevant to your property, or the one you’d like to buy, please contact me.  I would be happy to meet with you and discuss working together so that you can get the best deal possible with the current climate.

Please also visit my Silicon Valley real estate report, which includes info on all the cities and towns in San Mateo County, Santa Clara County, and Santa Cruz County. Here’s the link to the Los Gatos page. Also view the Los Gatos real estate market report on my SanJoseRealEstateLosGatosHomes.com site.

Browse Los Gatos homes for sale on the Live in Los Gatos blog.
Los Gatos homes for sale – view by map on the Live in Los Gatos blog.

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