San Jose

CASan Jose-Sunnyvale-Santa Clara (Silicon Valley)

Real Estate Market Analysis

Q3 2025 Report
$1,750,000 (June 2024)
Median Home Price
~1,000,000 (city), ~2,000,000 (metro area)
Population
~$140,000 (2024 estimate)
Median Income
Above average to excellent (varies by neighborhood)
School District Rating

Market Overview

Property Values

$1,750,000 (June 2024)
Median Home Price
Record highs as of mid-2024, comparable to early 2022 and March 2024 levels
Price per Sq Ft
+5% to +9% year-over-year (single-family homes)
YoY Change

Market Performance

Days on Market15 days (June 2024 average)
Market TypeStrong seller’s market; 108% sale-to-list price ratio, 69% of homes selling over list price
Months of SupplyHistorically low; inventory consistently below demand

Sales Activity

Sales Volume326 single-family home sales (June 2024)
Metro AreaSan Jose-Sunnyvale-Santa Clara (Silicon Valley)
Population~1,000,000 (city), ~2,000,000 (metro area)

Economic Indicators

Employment & Growth

Unemployment RateUnder 5% throughout 2024 (Santa Clara County)
Job Growth RateSteady, driven by tech sector resilience despite some layoffs
Median Household Income~$140,000 (2024 estimate)

Major Employers

  • Apple
  • Google
  • Meta (Facebook)
  • Cisco
  • Adobe
  • Intel
  • eBay

Demographics

~1,000,000 (city), ~2,000,000 (metro area)
Population
~37 years
Median Age
Modest, with steady in-migration of skilled workers
Population Growth
Highly educated; large proportion with bachelor’s or advanced degrees
Education Level

Family Composition

Mix of families, professionals, and multi-generational households

Key Industries

TechnologySemiconductorsSoftwareBiotechAdvanced Manufacturing

Education

School District

Above average to excellent (varies by neighborhood)
District Rating

Top Schools

  • Lynbrook High School
  • Archbishop Mitty High School
  • Leland High School
  • Bellarmine College Prep

Higher Education

  • San Jose State University
  • Santa Clara University
  • Stanford University (nearby)

Infrastructure & Development

Major Projects

  • Diridon Station redevelopment
  • Downtown West (Google Village)
  • BART Silicon Valley Extension

Transportation

  • BART extension to San Jose
  • VTA light rail upgrades
  • Highway 101/280/680 improvements

Planned Developments

  • Mixed-use projects near Diridon Station
  • Affordable housing initiatives
  • Expansion of tech campuses

Lifestyle & Amenities

Recreation

  • Almaden Quicksilver Park
  • Los Gatos Creek Trail
  • Municipal Rose Garden

Dining & Entertainment

  • Santana Row
  • Downtown San Jose restaurants
  • SAP Center (concerts, sports)

Cultural Attractions

  • The Tech Interactive
  • San Jose Museum of Art
  • California Theatre

Investment Analysis

Investment Opportunities

  • Strong long-term appreciation
  • High rental demand from tech workforce
  • ADU development potential

Growth Outlook

Moderate to strong, with continued demand but some signs of price adjustment

Market Risks

  • Affordability constraints
  • Potential tech sector volatility
  • Rising interest rates

Rental Market

Competitive; slight decrease in apartment rents Q4 2024, but high demand for single-family rentals

Marketing Intelligence

Target Demographics

  • Tech professionals
  • Young families
  • Investors

Marketing Channels

  • Online portals (Zillow, Redfin)
  • Social media (Facebook, Instagram)
  • Local networking/events

Pricing Strategies

List slightly below recent comps to drive multiple offers

Common Objections & Response Strategies

Objection: Homes are too expensive for my budget

Response Strategy:

Highlight long-term appreciation, potential for ADU income, and financing options

Objection: Interest rates are too high

Response Strategy:

Discuss rate buydowns, adjustable-rate mortgages, and potential for refinancing

Objection: Competition from cash buyers

Response Strategy:

Advise on strong offer terms, pre-approval, and escalation clauses

Professional Recommendations

1

Educate buyers on market realities and financing options

2

Advise sellers to price competitively and stage homes

3

Leverage digital marketing and social proof

4

Monitor tech sector employment trends

5

Stay updated on local zoning and ADU regulations

Competitive Analysis

Comparable Markets

  • San Francisco
  • Oakland
  • Palo Alto
  • Mountain View

Market Positioning

Premium Silicon Valley market with global demand

Competitive Advantages

  • Proximity to major tech employers
  • Top-rated schools
  • Strong long-term appreciation

Price Comparison

San Jose is less expensive than Palo Alto but pricier than Oakland and most of the East Bay

Investment Metrics

2.5% - 3.5% (single-family rentals)
Cap Rates
~3% gross yield
Rental Yields
~30:1 (high, reflecting strong appreciation expectations)
Price-to-Rent
Generally negative for new purchases unless significant down payment or ADU income
Cash Flow
4-6% annualized over next 3 years
Appreciation

Buyer Journey Insights

First-Time Buyers

Face affordability challenges; often rely on family assistance or co-buying; prioritize condos/townhomes or entry-level single-family homes

Move-Up Buyers

Leverage equity gains; seek larger homes or better school districts

Downsizers

Sell larger homes for high prices; move to smaller, low-maintenance properties or relocate out of area

Investors

Focus on long-term appreciation, ADU potential, and tech-driven rental demand

Relocators

Attracted by tech jobs; prioritize commute, schools, and lifestyle

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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