September '25 Deep Dive - Silicon Valley

The Local Lowdown

Quick Take:

Santa Clara County home prices continue their steady climb.
Inventory has grown compared to last year.
Homes are taking longer to sell, though competition remains strong.

Note: You can find the charts/graphs for the Local Lowdown at the end of this section.

Santa Clara County’s prices continue to rise

In Santa Clara County, single-family home prices have defied headwinds. Remarkably, the median sale price hasn’t fallen year-over-year in more than 12 months. This persistence underscores the market’s resilience and its continued desirability. Beyond Santa Clara, much of Silicon Valley has also held its value through recent cycles, showing the region’s strength in the face of limited affordability and fluctuating inventory.

More homes are sitting on the market

Unlike San Francisco, Silicon Valley is experiencing the opposite challenge: more inventory. In July, single-family home inventory was up 7.63% year-over-year, while condo inventory surged 25.86%. At the same time, fewer homes are changing hands—single-family sales slipped 2.64%, and condo sales dropped nearly 22%. The result: more choices for buyers, but also longer selling timelines for sellers.

Listings take longer to sell across most counties

Inventory growth usually pairs with longer market times, and Silicon Valley is following that pattern. Single-family homes in both Santa Clara and San Mateo Counties are spending more days on the market than last year, while Santa Cruz homes are holding steady. Even so, the market remains competitive, with the average Silicon Valley single-family home still selling in under 2.5 weeks.

Competition stays fierce for single-family homes

Measured by Months of Supply Inventory (MSI), Silicon Valley remains deeply competitive for single-family buyers. Santa Clara and San Mateo Counties both hover under two months of supply (1.5 and 1.7, respectively), firmly in seller’s market territory. Santa Cruz County, by contrast, leans toward buyers with 4.3 months of supply.

The condo market is far more buyer-friendly: 3.6 months of supply in San Mateo, 3.4 months in Santa Clara, and a notable 5.7 months in Santa Cruz.

Bottom Line:

Silicon Valley remains one of the most competitive markets in the Bay Area. Prices continue to rise, especially for single-family homes, while condos provide more opportunities for buyers. Sellers still have the upper hand, particularly in Santa Clara and San Mateo Counties.