Located right in the center of high-tech Silicon Valley, the city of Milipitas, California, is just north of San Jose in Santa Clara County and counts more than 60,000 residents. The city is home to a number of high-tech companies' headquarters, and residents here tend to be rather well-off, with many of them employed in the local high-tech sector. Because the city's residents are more affluent than average, Milpitas real estate prices are correspondingly higher. But not even an affluent population could save the community from the scourge of the financial crisis that has been in effect over the past couple years, taking a hit on the real estate sector here, as elsewhere. Residents saw the values of their homes plunge within just a few months while the number of foreclosures in Milpitas rose and even many of those interested in buying homes in the neighborhoods here found themselves unable to secure financing as banks tightened their lending.
Though many markets across the nation are still roiling from the effects of the crisis, Milpitas is actually beginning to look better, as many indicators show prices are finally rising again instead of in a seemingly endless fall. In September, the most recent month for which statistics are available, according to the Santa Clara County Association of Realtors' monthly statistics, there were 48 new Milpitas homes for sale listed, bringing the total inventory up to 137 homes. These figures were down slightly from the previous month, when 53 new homes were listed for a 140-home inventory, but the inventory has risen considerably from a year earlier. In September 2009, there were just 85 homes on the market. Sales volume has remained basically steady, with 26 homes sold in both September and October of this year, down slightly from last September, when there were 34 sales. Days home are spending on the market remains likewise. In September, the figure was 71 days, up a few from August's 65 days but down by one from a year ago. And in prices, Milpitas single-family homes are showing improvement. The average sales price in September was $563,000, up by $6,000 annually. The median price rose even more, up to $520,000 in September, from $450,000 a year ago.
Statistics in the Milpitas condo market have shown similar signs as the housing market. In September, there were 23 new listings of condos for sale in Milpitas, bringing the month's inventory total to 88. Inventory has more than doubled since a year earlier though. In September, the figure was 88 and in August it was 86; in September of 2009, however, there were just 39 condos on the market. Despite the rising number of condos for sale, sales volume has remained mostly steady. There were 10 sold in September, down from 12 in August and down annually from 13. The number of days condos spend on the market before selling, however, has improved drastically from a year ago. In September, the figure was just 37 days, versus 129 days a year earlier. Prices too show promise, even if increases are small: the average price rose to $292,000 in September, $10,000 higher than in August but off by $3,000 from a year ago. The median price, however, rose on both a monthly and annual basis to $265,000 from $255,000 in both cases.