Prices of Many Homes in Silicon Valley Go Up

A realestate agent friend told me that now some homes in Silicon Valley are receiving more than sixty offers. It was very shocking to hear that, but it seems that multiple offers are very common now for homes with a below median price.

Out of curiosity, I checked the home listing site MLSListings. I checked the site a few months ago and noticed that there are homes in San Jose that were below $300k and homes in Palo Alto below $500k. Today, here are the San Jose and Palo Alto homes with the lowest prices.

The picture and details below are from MLSListings.com as of October 25, 2009.

	The price is offered at $699,950 and here are the parameters: MLS: 80941554 Type: Single Family Residential Bedrooms: 3 Bathrooms: 2 Interior: 1641 Lot Size: 6825 Garage: Attached,2 Car Garage,RV or Boat Parking Year Built/Age: 1960
The price is offered at $775,000 (It is already in Sale Pending status!) and here are the parameters: MLS: 80945046 Type: Single Family Residential Bedrooms: 2 Bathrooms: 1 Interior: 894 Lot Size: 3750 Garage: 1 Car Carport,Alley Access,Detached Year Built/Age: 1924

Look at the houses! The San Jose house was built in 1960, it is 49 years old. The Palo Alto house was built in 1924, it is 85 years old! But neither of them look that old!

These two houses are just two tiny dots on the Silicon Valley housing Leopard. The homes which were available a few months ago must have received multiple offers for being so cheap. Now it is no longer cheap although it is still cheaper than the peak prices in year 2006.

Who is buying anyway? Most likely those poeople who could afford in year 2005 to year 2007 but could not find many choices. In year 2005, the available homes on market is only a fraction of what's available now. Now they have many choices.



If the economy is rebounding, it is possible that the home prices in the Silicon Valley will rebound to prevous highs. It is against common sense while California is under such dire situation and the unemployment rate is decades high. But it is happening around here that homes are up thirty percent from their lows months ago and people are rushing to buy homes for fear that they would be out of reach again. I bet serious buyers constitute a higher percentage comparing to years ago when a quarter of the homes are for investment.

I live in this Valley and I start to love it, so good luck to the Valley and may it be the leading force to lead California out of its current turmoil.