What Will $1 Million Get You in San Jose, California?

In the heart of the Silicon Valley housing market, buyers should brace themselves for some sticker shock.

The Bay Area real estate market is known for its extreme housing prices as much as its temperate climate. To the south lies Silicon Valley, a world-renowned tech hub that mirrors the high-priced housing trends of its neighbors. Whether seeking a condo near Cupertino or a townhouse close to downtown, it’s imperative for prospective home buyers in the San Jose area to understand the market and tailor their expectations to meet it.

While the San Jose housing market is a costly one, it is becoming less competitive. From August 2017 to August 2018, the asking price of homes for sale in San Jose has increased by 16.3 percent, according to Redfin. However, the real estate site also reported a 35.5 percent increase in homes on the market in the same span, indicating more opportunity and options for buyers looking to move to the area.

An article in the San Jose Mercury News further explained that 2018 real estate numbers for the area indicate a cooling off in the red-hot real estate market that is the greater Bay Area, allowing fatigued buyers somewhat of a reprieve from the astronomical asking prices they’ve grown accustomed to over the last several years. The article notes that in Santa Clara County, where San Jose is located, 25 percent of homes sold for less than their asking price in August 2018, up from 19 percent in August 2017, according to MLSListings.

Taking all of the data into account, buyers can be somewhat selective in the San Jose market as long as they set realistic expectations. With a median listing price of $998,000 and a median sale price of $1.08 million, a $1 million budget in San Jose is going to yield a thoroughly standard return.

Buyers can expect homes within their budget to have no more than three bedrooms and 1,800 square feet of real estate. This two-bed, two-bath, single-story condo on the Eastern edge of the city near Apple’s headquarters in Cupertino was sold for $946,000. Amenities include a recently renovated kitchen and master bathroom as well as a two-car garage.

This 1,200-square-foot home with three bedrooms and two bathrooms in the North Valley of San Jose sold for $1 million flat. Despite its square footage coming in on the smaller side, the property boasts a quarter-acre lot with fruit trees and ample outdoor space and a barbeque area.

This downtown San Jose townhouse nestled in the heart of popular Mariani Square in the Japantown neighborhood of the city cost its owners $950,000 in the current market. The 1,380-square-foot residence has two bedrooms and two and a half baths, plus a two-car attached garage and a patio for outdoor dining, making it a perfect spot for a young couple keen on entertaining.

Venturing a little further north of the city to the Berryessa neighborhood gave these recent buyers a fourth bedroom and a little extra square footage for a flat $1 million. The 1,690-square-foot home has two full bathrooms and two wood-burning fireplaces. Outdoors, the massive 16,000-plus square foot lot has tons of deck space, a koi pond and a picturesque view of the San Jose skyline.

This downtown loft with three bedrooms just came off the market for $975,000. The 1,630-square-foot condo on the top floor has 18-foot ceilings, an open floor plan and tons of windows that bring in natural light. Add in a recently renovated kitchen, walk-in closet and versatile loft space, and any prospective buyer can get excited about a place like this coming in under a $1 million budget.