July real estate sales activity for the greater Cupertino continued at a comparative relaxed pace following a brisk month of June. There were 55 closed sales in July compared with 76 in June. Sales are at normal levels for the late summer following several successive months of higher sales activity. There are currently 65 pending sales, compared with 71 in June. This is down moderately from recent Spring activity. Pending sales are homes that are under contract, or in escrow waiting to clear inspection and financing contingencies prior to close. Tougher lending regulations will continue to make it more difficult for borrowers to purchase homes. There were 156 homes for sale at the end of July, compared with 149 at the end of the June. The number of homes at current inventory levels would indicate a stabilized market. If current inventory levels hold steady for the coming fall season, home prices should stabilize at current levels.

Multiple offers, a common event, earlier last year, where homes would often sell above their asking prices, are now a rarity. In the uncommon event where there are multiple offers, the buyers are typically coming in below the asking price. The majority of home sales remain in the price range of $700,000 to $1,200,000. Of the 55 closed sales in July, 37 sales were below $1,200,000. This is where the bulk of the demand is. In July there were 4 home sales in the price range above $1,500,000. This past month there was just 1 home sale that closed above $2,000,000. Luxury home sales have been anemic for months. Home owners of the upper price range homes in the Cupertino area are experiencing a very different market than their peers in the lower price range homes. The average marketing time for the upper price range is approximately 9 months, while the marketing time for homes in the lower range is less than 30 days. Average time on market for all homes is currently at 34 days. Average closing price expressed as a percentage of list price is currently 99.33 percent. Compare this to the month of June which was 101.38 percent. These statistics can be very misleading, depending on which end of the price range your home happens to be.

We are experiencing a stabilized supply of homes, but I expect the supply will continue to increase in coming months. There is still a healthy number of Buyers out there compared with the relatively small number of homes for sale. The bulk of the buyers tend to be seeking homes that are affordable by our standards, priced below $1.2 Million. The market trends at the moment would indicate moderation of prices and perhaps short term declines. Homes priced upwards of $2 Million have plenty of competition and are tougher to sell. Knowledgeable astute buyers who choose to act now can take advantage of prime market conditions unique to this area.

Summer weather is finally here, its currently 99 degrees in Cupertino!
Countrywood of Cupertino
11059 Flowering Pear Dr.
Cupertino, CA 95014
3 Bed, 2.5 Bath, 1,445 Sq. Ft.
Offered at $689,000
For further information contact John Dozier at 408-996-0514

Thanks to everyone who came out for the tour today, we had a great turnout!

Executive View Retreat
11300 Canyon View Cr.
Cupertino, CA 95014
Offered at $2,298,000

Regnart Canyon View Estate
11700 Regnart Canyon Dr.
Cupertino, CA 95014

Cupertino Real Estate Sales Strong

June real estate sales activity for the greater Cupertino continued at a comparative relaxed pace following a brisk month of May. There were 55 closed sales in June compared with 65 for May and 70 in April. Sales are at normal levels for the late summer following several successive months of higher sales activity. There are currently 71 pending sales, compared with 83 in May. This is down moderately from recent Spring activity. Pending sales are homes that are under contract, or in escrow waiting to clear inspection and financing contingencies prior to close. Tougher lending regulations will continue to make it more difficult for borrowers to purchase homes. There were 121 homes for sale at the end of June, compared with 173 at the end of the May. The number of homes at current inventory levels would indicate a stabilized market. If current inventory levels hold steady for the coming fall season, home prices should stabilize at current levels.

Multiple offers, a common event, earlier last year, where homes would often sell above their asking prices, are now a rarity. In the uncommon event where there are multiple offers, the buyers are typically coming in below the asking price. The majority of home sales remain in the price range of $700,000 to $1,200,000. Of the 55 closed sales in June, 40 sales were below $1,200,000. This is where the bulk of the demand is. In June there were 4 home sales in the price range above $1,500,000. In May there were 6 sales above $1,500,000. This past month there were no closed sales above $2,000,000. Luxury home sales have been anemic for months. Home owners of the upper price range homes in the Cupertino area are experiencing a very different market than their peers in the lower price range homes. The average marketing time for the upper price range is approximately 9 months, while the marketing time for homes in the lower range is 30 days or less. Average time on market for all homes is currently at 53 days. This statistic can be very misleading, depending on which end of the price range your home happens to be. There may be some relief in sight for the higher priced homes, as a few major lending institutions have now fallen in line with a recently announced loan program by BofA offering new “super jumbo” loans up to $4,000,000 loan amount at competitive rates just a fraction above the rates of regular jumbo loans ($729K loan maximum).

There is now evidence that the market may have bottomed out and is poised for a modest recovery. Buyers are showing up at open houses in strong numbers. A significant number of them express that they plan to buy in the next few months. There is still a contingent of buyers that express the sentiment that prices may dip ever further. Lending restrictions are now much tougher than they were prior to the recent changes in lending practices. Lenders are now required to restrict their appraisals to homes that have closed escrow within the past 2 to 3 months. Near perfect credit scores are key in getting loans at reasonable interest rates. It is imperative now, for Buyers to obtain loan pre-approval before seriously looking for a home.

We are experiencing a stabilized supply of homes, but I expect the supply will continue to increase in coming months. There is still a healthy number of Buyers out there compared with the relatively small number of homes for sale. The bulk of the buyers tend to be seeking homes that are affordable by our standards, priced below $1.2 Million. The market trends at the moment would indicate moderation of prices and perhaps short term declines. Homes priced upwards of $2 Million have plenty of competition and are tougher to sell. Knowledgeable astute buyers who choose to act now can take advantage of prime market conditions unique to this area.

Above comments are pertinent to Cupertino and surrounding communities, Sunnyvale, Saratoga, Los Altos, and Los Gatos. The further you travel South in Santa Clara County, or head to the Central Valley, the more the picture looks like what you may be reading in the news about the troubled real estate market and rising foreclosure rate.

MURANO OF CUPERTINO
20597 MURANO CR., CUPERTINO CA, 95014
LUXURY UPSCALE COMMUNITY OF NEAR NEW HOMES*EXQUISITELY APPOINTED*1,750 SQ. FT*3 BED* 2.5 BATH*GRANITE COUNTERS*STAINLESS STEEL APPLIANCES*GAS COOK TOP*HIGH CEILINGS*BRIGHT AND AIRY W/LOTS OF NATURAL LIGHTING*MASTER SUITE W/CORNER WINDOW JACUZZI TUB*FAMILY ROOM ADJOINS KITCHEN FOR IDEAL ENTERTAINING*FORMAL DINING*FORMAL LIVING ROOM W/FIREPLACE*2 CAR ATTACHED GARAGE*REFRIGERATOR INCLUDED*ADJOINS COMMUNITY PARK*CUPERTINO’S FINEST SCHOOLS*REGNART*KENNEDY*MONTA VISTA*
$3,198 MONTHLY RENT PLUS $3,200 SECURITY DEPOSIT
AVAILABLE AUGUST 5TH, 2010
TO VIEW PROPERTY PLEASE CONTACT JOHN DOZIER JR. @ 408-410-5088

1664 Ardenwood Drive, Cupertino CA 95129
3 Bed*2 Bath*Family room with cozy fireplace*Livingroom*2 Car garage*
Gorgeous backyard oasis*Freshly landscaped*$2,598 a month*Looking for long term lease*
Top Cupertino Schools: Lynbrook H.S.Miller M.S.*John Muir Elm.*Available August 16th
For viewing please contact John Dozier Jr. at 408-410-5088

This beautiful home will be open this Sunday from 1:30pm to 5:00pm, your all invited to stop in and take a look!