Cupertino Real Estate Market Report - 2017 Year in Review
Like most of the Silicon Valley real estate market, Cupertino housing inventory dropped to its lowest levels at the end of 2017. Total sales for the year came in lower as well due to fewer homes to sell. Both of these factors have forced the average sale price and price-per-square-foot to their highest levels ever. As we start 2018, we expect to see further price appreciation until either new construction increases or people move out of the area.
Cupertino Real Estate Market - Total Sales
Overall, 6.6% fewer homes were sold in Cupertino in 2017 (328) than in 2016 (351). January 2017 started off with the same amount of sales as for January 2016 (20). A drop in February lead to a steady rise until its peak of 39 in June. July and August sales fell off slightly with a boost back up to 38 in September. Then, they started to taper off until ending the year with 22 in December.
Cupertino Real Estate Market - Inventory
The reason for the lower sales could be due in part to the extremely low inventory. The Cupertino real estate market began 2017 with 1.3 months of available inventory. February saw a quick jump to 2.2 months but that was only temporary. From then on, inventory remained at one month or less. Finally, it ended the year at just 0.5 months’ available.
Cupertino Real Estate Market Report - Average Sale Price
The lower inventory may have helped force the average sale price to rise by 13.8% in 2017. Cupertino Buyers paid an average of $1,854,949 in January 2017 (7% above list price). It dipped in February but began a steady climb up to $2,062,156 in August. At that time, the average sale price decreased but finished off strong at $2,111,535 in December 2017 (22% below list price). That was the highest average sale price for a Cupertino home throughout all of 2017.
Cupertino Real Estate Market Report - Price-Per-Square-Foot
The price-per-square-foot started 2017 at $943 in January 2017. But it stayed over $1,000 the rest of the year, finishing at $1,223 in December 2017.
Silicon Valley Market Report - Cupertino 2017 Year in Review Summary
The most significant concentration of homes sold throughout Santa Clara County during December was in the $800,000 to $1,000,000 range, which made up 17.7% of the total sales for the county. The $2,111,535 average Cupertino reported in December 2017 made up 8.2% of the Santa Clara County totals. Inventory levels averaged around 0.3 months (or approximately ten days) available. Active listings available for sale dropped from 1,990 in December 2016 to 977 in December 2017, a 51% decrease. As prices go up and inventory goes down, Silicon Valley buyers turn to lower priced areas like Morgan Hill and Gilroy. Until more inventory comes on the market, this will continue to be business as usual in the Silicon Valley. Low unemployment and high consumer confidence have financial experts expecting to see Federal interest rates increase three times in 2018.
If you're interested in purchasing a property, please contact your Silicon Valley REALTOR@ to find out what's available in the area you're interested in. Visit our Home Buying page to learn more about the home buying process.