Santa Clara Ranks 2nd Most Expensive Housing Market in the US

High Demand Continues Despite Santa Clara County Ranking as Second Most Expensive U.S. Housing Market

Despite being the second most costly county for homebuyers in the United States, Santa Clara County continues to see robust demand. This ranking cements the Bay Area's position as the priciest metro area in the country for the eighth year running, as reported by real estate blog, PropertyShark.

Top 100 Most Expensive ZIP Codes

PropertyShark's recent report delves into the 100 most expensive ZIP codes in the U.S., based on median home sales prices from the start of the year to October 20. Santa Clara County stands out in the Bay Area with 16 ZIP codes in the top 100, while Los Angeles County leads the nation with 20 ZIP codes.

Most Expensive ZIP Codes in Santa Clara County

The five most expensive ZIP codes in Santa Clara County include Los Altos, Saratoga, Palo Alto, and Los Gatos, with median sale prices exceeding $3 million. East Los Altos tops the county with a median home sale price of $4 million. According to local real estate agent Holly Barr, these areas are known for their excellent schools and custom homes on larger lots, contributing to their high cost.

San Jose's Presence in the Top 100

The first San Jose ZIP code to appear on the list is 95120, which includes Almaden Valley, with a median home sale price over $2 million. West San Jose, including Santana Row, is the only other area in San Jose to make PropertyShark's top 100, with a $2 million median home sale price.

Market Trends and Future Predictions

Will Chea, president of the Santa Clara County Association of Realtors, suggests that the current market trends are typical. Despite fears of a market crash, Chea believes these concerns are short-sighted. He points out that South Bay homeowners have 40% to 60% equity in their homes and are not at risk of foreclosure. Chea also hopes for a decrease in interest rates, which, along with low inventory, are impacting affordability in the region.

Is Now a Good Time to Buy?

Despite the high prices, Chea maintains that it is still a good time to buy. While the 2% interest rate may have been a once-in-a-generation event, a return to 5% is still considered phenomenal.

Despite the high costs, Santa Clara County's housing market continues to thrive, offering opportunities for both homeowners and investors. As the market evolves, staying informed about the latest trends and strategies is crucial for making informed real estate decisions.