Sunnyvale Real Estate Market Report - 2017 Year in Review
Inventory levels all over the Silicon Valley real estate market hit their lowest levels ever in 2017. Just like Mountain View and Santa Clara, Sunnyvale reported the lowest inventory in the Silicon Valley real estate market, with just 0.1 months available inventory by the end of the year. Year-over-year sales totals were higher, just like the Los Altos and San Jose markets. This pushed the price-per-square-foot to its highest levels as well. As we start 2018, we expect to see further price appreciation until either new construction increases or people move out of the area.
Sunnyvale Real Estate Market - Total Sales
Overall, 3.2% more homes were sold in Sunnyvale in 2017 (911) than in 2016 (883). January 2017 started off with 40 total sales, 24.5% less than those sold in January 2016 (3). They dropped off slightly in February but began a drastic increase each month after. Total sales reached their peak of 106 in May. Even so, June, July, and August also reported high sales totals, with 101, 94, and 98, respectively. In September, they fell dramatically. They picked up again in October and then tapered off to just 54 in December.
Sunnyvale Real Estate Market - Inventory
Just like the rest of the Silicon Valley market, Sunnyvale Buyers continue to struggle with inventory levels. 2017 began with 1.1 months of available inventory. It stayed exactly the same in February, but dropped to 0.7 months in March and never came back up again. In June, it fell to 0.3 months before picking up a little in July and then falling to 0.2 months in August. By December, the Sunnyvale market reported just 0.1 months of available inventory.
Sunnyvale Real Estate Market Report - Average Sale Price
The average sale price for a Sunnyvale home rose by 41.2% in 2017. Sunnyvale Buyers paid an average of $1,169,597 in January 2017 (1.1% below list price). By June, the average sale price was $1,523,650. It dropped slightly in July but continued to increase until the end of the year. That's when prices reached their peak of $1,651,300 (10.8% above list price).
Sunnyvale Real Estate Market Report - Price-Per-Square-Foot
The price-per-square-foot for Sunnyvale homes started 2017 at $810 in January 2017. By April, it was over $900 for the first time ($927). In September, it surpassed the $1,000 mark ($1,003) and never went below that again. In December, reports showed it to be $1,098, its highest average price-per-square-foot for the year. This price increased 35.6% increase in 12 months.
Silicon Valley Market Report - Sunnyvale 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 entire county. The $1,651,300 average the Sunnyvale market reported in December 2017 fell in the range of 4.6% of Santa Clara County totals. Inventory levels for the county as a whole averaged around 0.3 months (or approximately ten days) available. Sunnyvale fell below this average. 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.