As we head into the holiday season, the real estate market typically slows down. Sellers take their homes off the market to enjoy the holidays with family, and many buyers pause their search until the new year. But for those still actively looking, this can be an opportunity. While inventory is lower, you'll also face less competition from other buyers.
Market Trend 1
Sales activity varied significantly by city. While Redwood City saw a 57% jump in sales and Los Altos increased 46%, ultra-luxury Atherton dropped 50% and Mountain View fell 27%. The market is moving differently across neighborhoods, some cities are heating up while others are cooling down.
Market Trend 2
Prices are holding strong, but the "over-asking frenzy" is cooling. Most cities still saw homes sell above list price (103-110%), but that's down from last year's 104-113%. Palo Alto dropped from 106% to 104% of asking, and Los Altos Hills fell to 97%. Buyers are paying slightly less over asking than they did last year.
Market Trend 3
Buyers have more breathing room than last year, but don't mistake this for a slow market. Days on market increased slightly across most cities. Palo Alto went from 9 to 10 days, Redwood City from 9 to 12 days. Well-priced and well-presented homes are still gone in under two weeks.
Market Trend 4
New listings dropped significantly from September to October across most cities. Palo Alto fell from 49 to 38 listings, Santa Clara from 51 to 29, and Los Altos Hills from 20 to just 7. Year-over-year, the story is similar: Redwood City down 26%, Mountain View down 32%, and Los Altos Hills down 46% compared to October 2024.
Inventory is tightening heading into the holidays, sales activity varies significantly by city and price point, prices remain resilient, and the frenzied over-asking competition has eased. It's still a seller's market, just less intense than last year.
Every market and price segment reacts differently. If you're thinking about buying or selling, or just want to understand what's happening in your specific neighborhood, I'm here to help. Reach out to Wendy at [email protected] to schedule a time to discuss your unique situation and how these trends might affect your plans.
(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 November 14, 2025
