Silicon Valley Housing Market 2018
The number of active listings and the number of new listings have converged. In previous years, the number of active listings have been a 4-5 times higher than the number of new listings. Starting in 2013, however, we have been seeing a steady convergence of active and new listings, and just last year, these two numbers have converged.
What does this all mean? This means that homes have been selling faster than ever before even though inventory has stayed fairly consistent. Everyone thinks that the market is really competitive right now because of a low inventory but really it is not due to a lack of supply but rather due to a high demand.
It used to be that homes would sit on the market for a very long time before they were sold. In the recent years from 2013-2018, homes on market have been selling faster than ever.
Days on Market
The data on number of days on market confirms the speed sell of homes. In 2008 the average single family homes in the Santa Clara County spent 39 days on the market. Today Single Family Homes in Santa Clara County spend only 9 days on the market. Since 2012 the median number of days on the market has dropped by more than half.