August 2025 continued to demonstrate the resilience and competitive intensity of the Santa Clara County housing market. Here is my analysis of the key metrics and what they signal for buyers and sellers heading into fall.
County-Wide Overview
The median single-family home price in Santa Clara County reached approximately $1.78 million in August, up 4.2 percent year-over-year and essentially flat from July. Closed transactions totaled roughly 980 homes, down about 8 percent from August 2024, reflecting persistently tight inventory rather than softening demand.
Active inventory at month-end stood at approximately 1,150 single-family homes, representing roughly 1.2 months of supply. A balanced market typically has 4 to 6 months of supply. By that measure, Santa Clara County remains firmly in seller's territory.
Palo Alto
Palo Alto's single-family market continued its exceptional performance in August. The median sale price reached approximately $3.85 million, up 6 percent year-over-year. Just 22 homes closed during the month, reflecting the extreme scarcity of available inventory.
- Average days on market: 9 days
- Average sale-to-list ratio: 108%
- Active inventory: 28 homes
- Price per square foot: approximately $1,850
The most competitive segment remains the $2.5 to $4.5 million range, where well-presented homes in Midtown, Crescent Park, and Community Center are receiving 4 to 8 offers. Above $5 million, the market is active but more deliberate, with buyers taking time to evaluate properties and negotiate terms.
Los Altos
Los Altos posted a strong August with a median sale price of approximately $3.45 million, up 5 percent year-over-year. The city's combination of excellent schools (Los Altos School District and Mountain View-Los Altos High School District), walkable downtown, and proximity to major tech employers continues to drive premium pricing.
- Average days on market: 11 days
- Average sale-to-list ratio: 106%
- Active inventory: 18 homes
- Closed sales: 14 homes
Notable trend: teardown lots in Los Altos are trading at $3 to $4 million, reflecting the value buyers place on the location even when the existing home has no residual value. New construction in Los Altos is commanding $5 to $8 million.
Los Altos Hills
The luxury enclave of Los Altos Hills saw a median sale price of approximately $5.9 million in August, though with only 6 closed transactions, the median is sensitive to the mix of properties that happened to close. Homes on 1-acre-plus lots with views continue to command significant premiums.
- Average days on market: 24 days
- Average sale-to-list ratio: 98%
- Active inventory: 22 homes
The longer days on market and below-list sale ratio reflect the more deliberate pace of the luxury market, where buyers are evaluating significant purchases carefully and often negotiating on terms beyond price, including furniture, closing timeline, and post-close occupancy.
Mountain View and Sunnyvale
For buyers priced out of Palo Alto and Los Altos, Mountain View and Sunnyvale continue to offer relative value. Mountain View's median reached approximately $2.1 million, while Sunnyvale came in at roughly $2.05 million. Both cities benefit from proximity to Google, Apple, and the growing AI corridor along the 101 freeway.
Days on market averaged 12 to 14 days in both cities, with sale-to-list ratios of 103 to 105 percent, indicating healthy competition without the extreme bidding wars seen in Palo Alto.
Key Takeaways for Fall 2025
- Sellers: The market remains strongly in your favor, but preparation matters more than ever. With buyers paying premiums, they expect turnkey presentation. Invest in staging, pre-listing inspections, and professional photography.
- Buyers: Inventory typically increases modestly in September and October as families settle into the school year. This may provide slightly more options, but competition for well-priced homes will remain intense.
- Investors: Rental yields remain compressed at these price points, but long-term appreciation potential on the Peninsula continues to justify investment for patient capital.
For a detailed analysis of your specific neighborhood or property, please reach out. I track these metrics in real time and am happy to share the most current data.