Luxury home sales in Silicon Valley surged 54 percent last month from the same period a year ago, according to a new report by Coldwell Banker Residential Brokerage, the Bay Area’s leading provider of luxury real estate services.
The figures are based on Multiple Listing Service data of all homes sold for more than $1.5 million last month in Santa Clara County.
A total of 113 homes sold for more than $1.5 million in December, up from 73 in December 2011. The median sale price of a luxury home closing last month was down 7.8 percent from a year ago to stand at $2,019,500.
On a monthly basis, sales in December were down slightly from November’s level of 121 transactions, but the median sale price was up 6.8 percent from November’s median of $1.89 million.
Other key indicators for the luxury market improved last month from the same period a year ago. There were 58 sales over $2 million compared to 33 a year ago, and 20 sales over $3 million versus six a year ago. Homes also sold faster and sellers received a higher percentage of their asking price on average.
“The luxury market in Silicon Valley closed out 2012 the way it began, with healthy sales and strong buyer interest,” said Rick Turley, president of Coldwell Banker Residential Brokerage in the Bay Area.
Turley noted that some of the increase in sales could be due to luxury homeowners deciding to sell before the expected increase in the capital gains tax rate took effect in January. Additionally, demand remained strong from employees of Silicon Valley technology companies with stock option money to invest.
Some key findings from this month’s Coldwell Banker Residential Brokerage luxury report:
- The most expensive sale in Silicon Valley last month was a three-bedroom, two-bath approximately 3,200-square-foot home in Palo Alto that sold for $6.75 million;
- Palo Alto boasted the most luxury sales with 33, followed by Los Altos with 31, Saratoga with 21, and Los Gatos with 14;
- Homes sold in an average of 58 days, down from 65 days a year ago but up from 50 days the previous month;
- Sellers received an average of 101 percent of their asking price, up from 97 percent a year ago and the same as the previous month.