Housing prices rise in the third quarter: Santa Clara real estate market sees similar improvements
The housing market has recorded significant strides in the past year, which indicates strength is returning to the nation's economy. New, existing and foreclosed properties across the United States are all being purchased by homebuyers at an increased rate.
Santa Clara housing market sees positive changes
Real estate in Santa Clara has been displaying several positive qualities recently, which could attract potential homebuyers to the California metro. According to ALTOS Research, the median price for a single-family home in Santa Clara was $649,532 as of November 23, 2012 - significantly up from the approximate price recorded on January 1, 2012, which was $500,000.
As of November 23, 2012, the median price paid per square foot for a house in Santa Clara was about $425. Potential homebuyers researching properties in the metro can use this as a measure of a home's overall value when comparing houses. However, a buyer may not have long to decide whether he or she wants to purchase a house. The source claims that the average property in Santa Clara stays on the market for 60 days before someone completes the home buying process.
National housing prices rise
According to the Federal Housing Finance Agency's (FHFA) seasonally adjusted purchase-only price index, property prices have increased 1.1 percent from the second quarter of 2012 to the third quarter of the same year. This statistic was derived from home sale price information attained from Fannie Maw and Freddie Mac mortgages.
In a year-over-year comparison, seasonally adjusted home prices have risen 4 percent from the third quarter of 2011 to the third quarter of 2012. Research has found that purchase-only home prices have increased for the eighth consecutive month.
"With significant growth in home prices during the quarter and a modest inventory of homes available for sale, house price movements in the third quarter were similar to what we observed in the spring," said FHFA Principal Economist Andrew Leventis. "The past year has seen consistent price increases, but a number of factors continue to affect the recovery in home prices such as stagnant income growth, high unemployment levels, lingering uncertainty about the macroeconomy, and the large number of homes in the foreclosure pipeline."