Santa Cruz real estate in 2014 started off a little bit differently from what we saw in the previous year with a significantly lower inventory for both single family homes and condominiums/townhouses. While the year isn't quite over yet (and we're still waiting on what the stats will tell us), we have seen median home prices creep up steadily since January.
Single Family Homes in Santa Cruz, CA
This year, homes priced below 800K have seen the most activity. As seen in many years before, the first quarter sales proved to be slower than what we typically see in the second and third quarter of the year. The median price of single family homes in Santa Cruz increased steadily, but not as dramatically as it had compared to 2013.
Santa Cruz Condos & Townhouses
The Santa Cruz condo & townhouse market has seen continuous growth in inventory and sales during 2014. People are looking to Santa Cruz as an alternative option to living in Silicon Valley, where there’s even more economic frenzy happening. This has led to increasing prices for single family homes, which in turn has provided motivation for some buyers to invest in the Santa Cruz condo market.
What Does It All Mean?
What's currently driving the Santa Cruz real estate market is high demand and low supply. We know that low interest rates and high demand from Silicon Valley have helped propel the Santa Cruz real estate market to where it is today. In all likelihood, because of the non-stop economic activity happening on the other side of the Hill we will continue to be in a seller’s market until we see supply open up.