Summer 2025 Was the Strongest Buyer’s Market for Over a Decade

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Summer 2025 Was the Strongest Buyer’s Market in Records Dating Back Over a Decade
Beware the behemoth Compass to buy anywhere 
Santa Clara County Highs and Lows 
Los Gatos Home of the Week 
Santa Clara County Price Reductions 
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Summer 2025 Was the Strongest Buyer’s Market in Records Dating Back Over a Decade

Last summer was the strongest buyer's market on record for the last decade. And that's across the entire United States. There are an estimated 500,000 more home sellers than buyers in August, meaning that buyers had the.

Advantage. They had leverage. They were like, Hey, you know what, I'm gonna be picky.  

Micro Markets and Buyer Behavior

In certain markets, real estate isn't one aggregate huge. When you look at buyers and sellers, it's micro markets, not even down to the zip code, down to the neighborhood.

Buyers don't look at just that house in a one-mile radius. They look at multiple houses; they look at 200, 300, 400, sometimes 50, depending on their desire. Homes that are in their area, and they whittle it down to what they want, and then they go out of this top 20 or 30 or 40 homes, I want to walk.

Look at these 10 homes or five homes. So if your house is built out of straw and you haven't done anything over the last couple years or decades to your house and you have it overpriced, buyers are gonna see that and they're not gonna bother looking at your house, period. Right? So this article here goes through all this stuff, and I'm sure that there's data.

Current Market Trends and Predictions

They're the buyers have the advantage right now. If you can afford to buy a house, this is a great time to do it. When we start dropping rates over the next two, three months, October and November, we're gonna see another couple of quarter-point drops. More buyers will enter the market.

However, when there are more buyers, that means there's more competition. So just understand that this was a turning point. This is the bottom of the market, and we'll probably see prices go up.

More sales happen, more people come on the market when you're stuck in a two-and-a-half, 3%. Loan, and your next option is to buy a house at 7%, even 6%. It doesn't make sense if it drops it down to five and a half or five when you buy a point down.

Then it becomes much more appealing to the sellers in mass for them to come in and say, Yes, Yes,s to put this house on the market. I wanna find something else. But it's a sticky wicket. 

Challenges in Selling Homes

Because if you sell your house, you have to have the contingency that you will find, locate, get in the contract, and complete the sale before you allow your current home sale to actually go through because you're not gonna sell and be homeless.

So it's a sticky wicket because now you have more competition. I've been telling you this for the last couple three years, Florida and Texas are the strongest buyer's markets. Newark and Naau are the strongest sellers ' markets. Denver and Las Vegas have shifted most towards buyer's markets in recent months.

Go ahead, take a look at it. There you go. All right. 

Los Gatos Home of the Week 

Spotlight: Los Gatos House of the Week

This is the Los House of the month of the week. I thought this was a very nice-looking house that was built in 1899.

This is what I would consider a standard Victorian house. And I'm glad that the agent put their floor plan on. I guess it's a duplex.

Oh yeah, I guess it is. There you go. And here's the thing, right? You get to be in. Los Gatos. The tough thing is where it's located. It's on the other side of the university in Santa Cruz, so you would have to take a car to get there. However, you could walk down Main Street and make it a nice leisurely stroll.

So this is a nice house for $2.3 million, and it looks like, ah, yeah, there it is. It's an upstairs-downstairs duplex. Not my favorite look and feel, but if you have to be in Los Gatos. It's gonna be on a busy road, 2.3 million, and your renter can actually rent out the bottom half and help you with your mortgage.

It's a good option for you. It's five bedrooms, four baths, 3,200 square feet. If you're okay living on a busy street, Compass is buying. 

Real Estate Brokerage Experiences

Anywhere, real Estate Anywhere is an aggregator company, a conglomerate that buys other companies and profits off of them.

And here's my problem with this. I, you know, I worked for, I was an independent broker for 17 years. And then I figured I was gonna move all my administrative compliance and legal to a broker like Compass or what have you, so that I didn't have to worry about that or manage it. And for that, there was a cost.

So I went to Coldwell Banker. For like six months. I didn't like their software they required me to use. I was a little too nitpicky. And within that timeframe, Compass picked me up. They recruited me, and they gave me an offer. I said, Suree, why not? And I went there, and great people, loved the bosses, loved everything about it, except for the corporate structure.

They asked me for. Knowing where my sales were coming from, and that's not what I joined real estate for. It was like being in a corporate structure, even though I was an independent agent. My business grew. I loved it, but somehow their contract kept on nickel and dimming me, and I just said, That's enough. I don't want to deal with a big corporate structure.

So I went to real. 

Beware the behemoth Compass to buy anywhere. 

Compass and Corporate Real Estate Structures

The problem with Compass is that they're. Like Zillow and Redfin, their corporate structure is designed solely for profit. They make it feel like we're just a number. And when you become such a massive. Company, you forget about what the real reason is you're in business for.

And for me, I want to serve my people. I wanna serve my clients. That's what the individual agent does. Hanging my license on a huge conglomerate of a company, I felt, didn't help me at all. It doesn't help my clients at all. And I understand that they have. The exclusive look they have off-market.

And you know, my feelings on that are that exclusives don't necessarily tell you what your true value of your house is worth. You're not opening it up to the entire market. We just got into contract on one of my listings, and I had it on the market for longer than I wanted, too, but I want the time to have time for it to have the market would bring.

When you're on an exclusive, you don't necessarily get to see what the entire market, the whole inventory of buyers that are out there are going to say that your house is worth, When you have an exclusive, you have to work within their system and you have to give them this and you have to do that, and it doesn't really help. The problem with what's happening here in Compass buying anywhere is that they're just going to get bigger and bigger. How does that advantage you as a buyer or a seller?

I don't think it does Century 21 Compass anywhere. They're all going to jump in and become this huge conglomerate of a company. Are you working with an agent who's in the market, that iwhopexperiencet understands how to negotiate and how to market your property, how to get your house staged up, and how to make repairs to make sure that you profit the most, not necessarily the brokerage? That's the problem I have with these big companies, and that's why I shy away from 'em. I spent some time learning about it. It just didn't fit my needs or my focus on how to serve you as a client.

I'm not saying that the agents that are in, I know lots of agents that work for Compass and Coldwell and Century 21, and all these other companies, and I think they do a great job. But the corporate feel of this just doesn't make me feel like it's going to help us or you. Tomorrow, we're talking about something a little bit more antitrust, which we'll go into.

So be sure to tune in tomorrow about why Compass is doing what it's doing. Okay. Let's get into this.

All right.

Santa Clara County Highs and Lows 

Highest and Lowest Priced Homes in Santa Clara County

This is the highest-selling home in Santa Clara County. This is La Paloma, not my listing. Sold for $9.8 million, which is 0.9% over the list price. It's five bedroom, five and a half bath, 5,000 square feet on an acre, built in 1992. It's in Los Altos Hills. Lepto Circle is the lowest-priced home in Santa Clara County.

This is right off a Dunn, and it's a three-bedroom, two-and-a-half-bath, 1600 s, square foot, three-bedroomoftwo-and-a-half-bathached Is this home worth seven 90? We don't know because it was sold off market, it could have been worth 8 25, could have been worth 8 50. That's the problem I have with the exclusive looks, and this is the highest jump.

Here's the thing, right? I used to live right here. So here's the thing. When you sell your house, it doesn't matter what you list your house at. Tell you right now, this one was listed right at a million dollars, and it's sold in one day for 1.5.

That's how you get the market done, right? 900 million dollars for a house here. And it's all done up pretty looking, and it's completely redone. Probably not, 'cause it's a flip, but it doesn't matter because this guy is all about getting this thing into the market. Getting it sold and moving on.

I don't know why there are two different, oh, this is a virtual picture there. That's nice. And they put the floor plan in. So thank you for that. So here's the thing, right? They redid the kitchen, they redid the floors, they redid everything. They probably put two, $300,000 into it, and now it's worth $1.5 million because that's what a buyer was willing to pay for it.

Put it on the market, get it sold, boom, done right? Don't mess around with the list price when you think your house is worth $1.6 million and it's not. And it sits on the market for 30 days. It's overpriced. It sits on the market for 90 days. You're just being stubborn because the market is telling you that the house is worth it. Not $1.6 million. It's worth less. Right?

And this is the lowest list price to sales price.

Clayton Road. Let's take a quick look at where Clayton Road is real quick. Boom. There. Clayton Road is, where's my mouse? There we go.

So you are doing some driving to get here. That's the problem. So you might have like a two or three-mile radius to figure out what the comps are, and your comps might suggest that because you're next to the country club. Which is right here. But the fact is, you're out in the country. I've sold houses over here before, and it's just a different feel when you're out in the country.

It is totally different. There's nothing wrong with the East Foothills. It's beautiful homes out there. This is a beautiful house, I'm sure. Three bedroom, two and a half bath, 3,200 square feet, not my listing, took 130 days to sell. Why? Because the seller thought it was worth two and a half million dollars.

Drop it down to 2.2, and after a few weeks, you get an offer for 2 million, under $2 million.

Why? Because you want it to be the market maker. Now look, if your house is gargantuan and majestic and updatedLookok, these are like the 1980s. Look and feel right here, right? 1980s. That's a nice-looking kitchen, I'll guarantee you that, but it's not been updated. Look at the tile everywhere.

This house is a fixer-upper. This is awesome. I love this, except for its being dated. You can't ask a premium on a dated house. Don't put your ego into this. When you're selling a house, your house is worth what buyers are willing to buy it for. And if you're on the market for over 30 days, you're overpriced. Period.

Santa Clara County Price Reductions 

Price Reductions and Market Realities

This is the price reduction of the week. Blackfoot Court is still active, not my listing on the market for 55 days. They started at 1.85. Now they're down to 1.7. You could probably pick this up for 1.5. Why? Because it's been on the market for too long. They overpriced it.

There's nothing wrong with this house. It's a beautiful house. They just overpriced it. And once you have your cadre of buyers go through again, they've looked at this house, which has a dated bathroom and dated kitchen. 

That's good marketing there. Okay, so that's a nice-looking kitchen, right? There's nothing wrong with it, but it's, it's dated, right? I love wood. I love granite. I prefer that look to my kitchen, because my kitchen looks plastic. I have quartz on my counters. I have painted cabinets. And it just doesn't have that warm feel to it.

However, that's the style that people are looking for. That's the style that people are buying today. Now, look, there's a beautiful pool back there with a waterfall, but the coping is dated. So if I think that's Davis, yeah, that's Davis, and it's on a cul-de-sac. In a week or two, buyers will tell you what your house is worth. Sellers, if your ego gets stuck on a price, your house will not sell. Period. We have 260 price reductions of the almost 1200, which is 22% of the homes that are on the market have been overpriced.

Goes back to the buyer's market. Buyers are being picky. If you're okay sitting on the market, you're only gonna get a lower price. Anything over 15 days, your price is not what the house is worth. Your price is your ego, and if you take your ego out of it, your house will sell. Let your agent do their job, period.

I tell you this over and over again, you have buyers or sellers come to me and say, My house is worth this. And I go, well, you gotta prove to me how. Show me the numbers. Well, it was like this six months ago. Six months ago was. It's a totally different market.

We're talking about the last 15 to 30 days. We're looking backwards, 90 days max, because.

Houses are selling, and buyers are working on them. Buyers are the downward influence. Sellers are the upward influence. Brokers bring buyers and sellers together with reality, right? So just understand that we're here to help you do this. If you stand in our way and say, I don't want to stage, or I don't want to do this upgrade, lower the price, lower the expectation, and your house will sell.

Otherwise, you're gonna think that your agent's an idiot. That's all I have to say. 

Conclusion and Final Thoughts

I'm Vito with Abano. Thanks for watching. 

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Vito Scarnecchia

Real Estate Broker, Veteran, Dad

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408-705-6817

Vito@abitano.com 

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