Silicon Valley's real estate market has launched into an early spring cycle compared to last year. While February sales volumes show regional variations across cities, home prices are consistently appreciating throughout the area. The number of new homes coming on the market has overall increased compared to a year ago by a significant amount, except in Menlo Park.
Competition remains fierce, with homes selling above the asking price in all areas. Despite overall sales volume trailing last year's figures, Cupertino leads with properties commanding 122% of list price and 5 out of 8 transactions closing at more than 20% above asking.
Sales volume varies dramatically by location
Los Altos Hills (+200%) and Palo Alto (+60%) show remarkable growth
Meanwhile, Atherton (-50%), Cupertino (-46%), and Los Altos (-42%) show significant decreases
Price Appreciation Continues
Atherton leads with an extraordinary 120% increase to $12M
Los Altos (+37%) and Menlo Park (+31%) show strong growth
Even areas with more modest increases maintain positive momentum
Competitive Dynamics
All communities see homes selling above asking price
Properties are moving quickly, with all cities reporting median days-on-market under 10
The market remains decidedly competitive:
What This Means For You
For Sellers:
The data confirms that well-priced properties are attracting multiple offers. Consider implementing pricing strategies to encourage competitive bidding rather than listing at your perceived maximum value. Invest in pre-listing preparation (staging, repairs, professional photography) to generate immediate buyer interest.
For Buyers: With homes selling in under 10 days across all cities, hesitation will likely result in missed opportunities. Have financing pre-approved and be prepared to make decisions rapidly. You should budget for bidding wars. The data clearly shows that listing prices are just starting points.
Connect with Wendy at [email protected] for personalized insights and strategies to make the most of our current market conditions.
(This report covers from Redwood City to Cupertino. Redwood City and Menlo Park fall under San Mateo County. Palo Alto, Mountain View, Los Altos, Cupertino, Sunnyvale, and Santa Clara fall under Santa Clara County. Data include single-family home sales only. Data is from CA MLS and is deemed reliable but not guaranteed. Private sales are not included.)
Posted on February 14, 2025
