The city of San Jose just released a report titled "Residential Feasibility Analysis" that compares expected construction costs with the value of the construction. The report says the total estimated development costs have increased by approximately 12-13% over the last 18 months. Construction mortgage rates have doubled over the last 12 months and hover above 8.0%. The report … [Read more...] about High Interest Rates Make New Home Construction Less Feasible
Low DOM For Silicon Valley Houses
Recently JLee Realty began plotting median days on market in addition to average days on market for homes for sale. The median plot emphasizes the change that began around 2012. The median days on market stays very low with only occasional bumps up. The average dom has been trending down over this period and thus the change is that fewer homes deviate from the median. View San … [Read more...] about Low DOM For Silicon Valley Houses
San Jose Rent Prices Increase Slightly – 1st Time Since March
The San Jose median rent price increased for the first time since March 2020. SF rent prices also increased for the first time since April 2020. They caution that increases are typical for this time of year so it may not indicate that effects from the pandemic are decreasing. City1 Bed Rent (m to m)(y to y)2 Bed Rent (m to m)(y to y)SF$2,680 (0.8% )(-23.9%)$3,500 … [Read more...] about San Jose Rent Prices Increase Slightly – 1st Time Since March
Are Closed Campuses Affecting Home Prices?
With many college campuses either closed or partially closed, there are fewer renters near the campuses. Has the decrease in rental demand tipped demand for owning homes in those locations? Our MLS does not define a mostly residential neighborhood adjacent to San Jose State University, so it is not easy to look for any trends there. Looking at Zip Code 95112 and trying to … [Read more...] about Are Closed Campuses Affecting Home Prices?
California Proposition 19
Proposition 19, takes effect on April 1, 2021. It is estimated to increase tax revenue overall. It increases taxes on inherited properties that are used as either a second home or as income properties. It provides more opportunities to save taxes on primary residence replacements. More information is available about Proposition 19 and about California property taxes. … [Read more...] about California Proposition 19