Information from Dataquick, reported last Friday by the Mercury News, indicates that home sales in Silicon Valley in April 2008 were up 33% over March 2008, although they were still down 27% from April 2007 and the current median of $699,500 is down 12.9% from the prior year. 

Taken by itself, this information of a month to month shift is not conclusive, but I read it as another sign that it is a good time for buyers to get a good deal in selected markets.  Buyers might hesitate if they think the market is still soft and falling, but this does not appear to be the case. 

It may not be good news yet for sellers of lower priced homes as the inventory of distressed properties is still substantial in some east and south valley submarkets and it will take some time for that competing inventory to be absorbed by market demand.  That tends to still be a drag on the general lower priced market.

At the same time, some submarkets such as Saratoga, Cupertino and the lower penninsula are experiencing multiple offers for their best properties where demand is strong.

Call Rick Bonetti at 408-857-8800 if you need help deciding if now is the right time to buy or sell in Silicon Valley submarkets.