Sunnyvale 94087 Real Estate Trends : Why Now Is the Time To Sell Your Home

Why Now Is A Unique Time To Sell in Sunnyvale 94087

Last Updated : May 2013

The housing inventory all over Santa Clara County was close to the lowest in the County’s recent history with January 2013 seeing just 852 homes on sale. The county had lowest number of listings in early 2000 with just 692 homes on sale. The inventory situation situation has steadily improved with more homes coming into the market given the rapid surge in demand and home prices.  Sunnyvale’s 94087 zip code area is no exception. This is a hotly sought-after neighborhood and all categories of homes sell well within days as long as these are attractively and appropriately priced. 

Sunnyvale 94087 real estate market area shows a trend favoring Home Sellers

Is This Your Opportunity To Sell?

I present above, the trend lines of two very interesting pieces of data averages: Active Inventory + Pending Sales, and Price Per Sq. Ft. These two datasets represent the supply and demand side, respectively, and reflect the impact of one on another on average.

From 2010 to 2011, the Price Per Sq Ft trend line for Single Family Homes responded only slightly to a bigger change in Active Inventory trend line. This was largely attributable to the state of the local economy, the housing situation with large number of foreclosures, and sluggish growth in the local job market.  

In 2012, the local economic recovery gained steam and led to job growth, business growth, and a rapid revival in housing demand. Low interest rates brought hordes of buyers back into the market. Foreclosure inventories dwindled down to a trickle.  

For the first time in 3 years, the price per sq ft trend reacted sharply to the lack of supply, and huge pent up demand from buyers in 2012.  Refer to the chart from Jan 2012 to Dec 2012. Sunnyvale’s 94087 areas saw a rapid climb in per sq ft price (red line) on average as inventory took a nosedive indicating a return of the price elasticity of demand with stronger correlations.  As year 2013 moved on to May '13, we see the trend continuing to around $707 per sq ft compared to $691 in Dec '12 and $624 in Jan '13. The  May '13 Price per Sq ft number is same as April while there is higher inventory now with 64 active/pending listings in May 2013, compared to just around 25 active/pending listings in Dec 2012.  The demand for homes on sale is relatively higher in the part of Sunnyvale 94087 area where the schools are part of the Cupertino Schools.  Nearby areas where top Sunnyvale schools such as Cherry Chase and Cumberland schools are located also saw rapid relative Per Sq Ft Price increases from their prior levels. 

This is a time when homeowners who have hitherto been waiting for the right time should recognize the potential for gains in a market seeing short supply of homes and high demand.  

What could dampen this trend?

The current situation appears to have over heated the market and may possibly not stay for long as rapid & steep price rises are never long lasting.  All it requires is a catalyst such as a tapering of the Quantitative Easing Policy of the Federal Reserve, leading to rapid rise in interest rates (which have been creeping up a lot these days), thereby pricing out some of the marginal competitive buyers from the market leading to a fall in the crazy demand and eventually some softening of the prices if not a fall.

Homeowners waiting to sell thus far will put their homes on sale in coming months, given the high per sq. ft. prices, thus leading to better supply and more choices for buyers. As supply meets demand, or as interest rates move up, we can expect to see prices getting back to an equilibrium level. 

If you are thinking of selling your Sunnyvale home, 

NOW is that great opportunity!

Please give Realtor Ranjana a call at 

(408) 861-8026 

for a free home market evaluation.

Read More

Real Estate Tip: Red Flags In Preliminary Title Report

Look Out For These Warning Signs In The Preliminary Title Report 

Avoid Problems Prior To Or At Close of Escrow

Picture Credit: Fotolia.com

Problems with or related to the title deed/home ownership status can mar a smooth sale transaction unless these are identified early and addressed right at the outset. A variety of issues can be possible as outlined below so your best bet is to have these rectified early in sale / purchase to avoid problems, delays, frustration, and desperate situations for you, either as a Home Seller or a Home Buyer. As your Real Estate Agent I will help you with any of the following issues but read on to educate yourself about these.

VESTING

If the name on the title deed is different from the seller signatures in the purchase contract, you need to find out why. Determine if the seller actually has the right to sell or sign on behalf of the name on the title deed. 

TAXES AND ASSESSMENTS 

Look to see if  payments are current.  Be sure that all special assessments have been disclosed to the buyer. If payments are not made, the county holds lien on the property for the taxes owed. Ensure this is covered prior to closing. 

DEED OF TRUST 

Deeds of Trust that are paid off but are not reconveyed require a reconveyance from the trustee or a court order to remove it from the record.  Find out through your realtor if the seller understands that such loans or financial commitments affect his property.

IDENTITY MATTERS 

Judgments and Liens may be eliminated with an identity affidavit or an SI, commonly known as STATEMENT OF INFORMATION / CONFIDENTIAL INFORMATION STATEMENT,  if they do not affect the party in question.  If they do affect the party but have been paid and not satisfied, a release or satisfaction must be obtained and recorded or filed to eliminate these matters.

PENDING ACTIONS 

A civil action affecting real property will generally have to be dismissed or withdrawn before title to the land can be insured.  A pending divorce may not need to be finalized for a sale or loan to close, however there may be special requirements.  A probate may have specific requirements.  Please check with your Title Sales Representative or Title Officer for details. 

MAINTENANCE AGREEMENTS 

Roads, driveways, party walls, and access easements may be affected by joint maintenance agreements which may require future payments for general maintenance purposes.  

The title report will show such agreements if one is of record.  Be sure to request a full copy of the maintenance agreement read it.

LEGAL DESCRIPTION 

The legal description should always be compared to the map attached to the preliminary title report.  Be sure that all the property being conveyed has been included in the preliminary title report.  

NOTICE OF DEFAULT 

If the seller/owner is behind in his/her payments and has received a notice of default, the sale date may be set three months after the date of notice of default as that is the timeframe given to the seller to "cure" the default.

NOTICE OF TRUSTEE'S SALE 

The sale date has been set. This recorded document contains the date, time and place of this sale.  If you are the purchaser in this transaction you should verify for yourself that the COE (Close of Escrow) date is scheduled prior to the  date of that sale, or that the sale date has been postponed.

As your Realtor, one of the many services I bring to you is the ability to analyze the Preliminary Title Report in detail in consultation with Escrow professionals. My team of professional service providers includes very experienced Escrow officers who complement my real estate expertise to help you avoid such situations and more. 

Please give me a call at (408) 861-8026 for all your real estate needs, whether you are in the market to Buy or Sell your home. 

Republished with permission from Candice Francisco, Cornerstone Title Company

Read More