subject: Investing in Silicon Valley Real Estate–A Smart Move [print this page] Investing in Silicon Valley Real EstateA Smart Move
The southern portion of California's Bay Area is home to Silicon Valley. More than anywhere in the world, this famous region is synonymous with technology. In addition to tech giants, Silicon Valley is also home to numerous luxury estates and other lovely real estate properties. Depending upon property location and house design, homes are on the market listed at prices as low as 100,000 dollars and as high as 30 million plus. Recent happenings in the housing market have forced thousands of homes into foreclosure, and numerous layoffs from neighboring companies have caused many homeowners to list their homes in the hopes of a quick sale.
More than any other time in history, the Silicon Valley real estate market is now a buyer's market. Over most of last year average home prices fell steadily before leveling off in the latter months. Recent data suggests that the list prices of homes are increasing, but the truth is that sales are still low, and expected to drop even more. With over five thousand homes in different stages of foreclosure - auction or pre-foreclosure, for example - the market is flooded with opportunities for the smart investor. With the right knowledge, and an agent who knows where the best deals are, the time is right to make unbelievable purchases.
Overall, the median sales price of a home in Silicon Valley is still two percent lower than January of 2010 at around $460,000. Resale home prices actually increased, however. The number of homes sold dropped nearly eleven percent from last year. These slow sales figures suggest that many homeowners may consider negotiating the price of their property in the hopes of selling it. Numerous short sale homes may be listed for a lower than average price, as homeowners and banks try to sell them before they fall into foreclosure. These homes may be difficult to find without a real estate agent, however.
Foreclosed homes are another great opportunity for investors. As lenders look to recoup their losses, the prices of properties in foreclosure are lower than ever. The market generally picks up in the spring and summer months, and figures show that homes sold in these months sell for four percent more than other periods. Purchasing real estate prior to spring may pay off as the warmer weather rolls around. Most experts agree that the real estate market will pick up eventually, and taking place of the buyer's market currently available in Silicon Valley can pay off tremendously in the future. It's an investment worth making.
