If you’ve been following headlines, you’ve probably seen mixed messages: some say the market is cooling, others claim it’s still hot. So — which is it?
Let’s break it down with actual local data and buyer behavior from Santa Clara County in June 2025.
🔍 Inventory Is Up… But Not Everywhere
✅ County-wide, active listings rose about 12% year-over-year — giving buyers more options.
✅ However, new listings remain low by historical standards. Many would-be sellers are still sitting on 3% mortgages and staying put.
✅ Neighborhoods like Berryessa, Evergreen, and parts of South San Jose have more inventory than normal, while Willow Glen and Cambrian remain tight.
💡 What this means: The market feels less frantic, but it’s not a buyer’s market. You still need to move quickly in the most desirable zip codes.
💰 Are Prices Dropping?
Not exactly.
✅ The median single-family home price in San Jose is currently around $1.52M, slightly down from April but still up 3.8% year-over-year.
✅ Homes in 95118, 95125, and 95008 are holding strong or climbing due to school districts and walkability.
✅ Price reductions are more common in homes that sat longer or were mispriced from the start — not because the market is tanking.
💡 Translation: Overpriced listings are adjusting, but well-priced homes are still getting multiple offers.
⏱️ How Fast Are Homes Selling?
✅ In hot pockets like Willow Glen, Santa Clara, and Cambrian, homes are going pending in 7–10 days.
✅ County-wide, the average days on market is around 21 days, up slightly from spring but still fast by national standards.
✅ Listings that sit more than 3 weeks are typically overpriced, poorly presented, or have location compromises (e.g. near freeways or power lines).
💡 Strategy Tip: Don’t assume a longer DOM means you can lowball — ask your agent to check seller motivation first.
💬 What Local Buyers Are Doing Differently in 2025
✅ Buyers are increasingly offering below asking — but only on homes that’ve been sitting.
✅ Escalation clauses, shorter contingencies, and rate buy-downs are becoming more common again.
✅ Some savvy buyers are asking sellers to cover 2-1 buydown costs, reducing their rate temporarily for affordability.
💡 Pro Tip: If you're using creative financing, work with an agent who knows how to present that cleanly — many sellers still prefer strong, simple offers.
🗝️ What This Means for You
✅ If you're a buyer: You have more room to negotiate than in 2021, but don’t wait too long in the best areas.
✅ If you're a seller: You can still get strong offers — if you price right, prep well, and work with an agent who knows how to position your listing.
📞 Curious how your neighborhood is performing? I’d be happy to run a hyper-local market report or help you time your move.
📚 Sources
Sources: MLSListings Inc. data, June 2025; California Association of Realtors (CAR); Redfin market trends; local MLS access.
