Tech is booming—and so is the Silicon Valley luxury real estate market.
According to a new report by Coldwell Banker Previews International®, Woodside, Calif. (also known as the “Bel Air of Silicon Valley”) has topped an index ranking of 100 luxury markets across the United States. The Luxury Market Index (LMI) compares real estate activity using a number of measurements—including positive or negative changes, annualized sales in units, volume, average and median sale price and reductions from original list price.
“These results are then calculated and weighted into the index results,” explains Patrick Veling, president of Real Data Strategies, Inc., the firm that collaborated with Coldwell Banker® to create the index. “The LMI values are then used to rank markets against one another. The index gives affluent consumers a top-line view of the most active luxury markets in the United States and the trends that drive buyer demand.”
Woodside leads three other Silicon Valley suburbs on the LMI—Portola Valley (No. 3), Hillsborough (No. 4), Atherton (No. 10) and Los Altos Hills (No. 17)—as the tech sector’s growth fuels unprecedented demand in this area.
Six other California cities had high index ratings, including Thousand Oaks (No. 5), Arcadia (No. 7), Dana Point (No. 15), Newport Coast (No. 16), Pacific Palisades (No. 18) and Laguna Beach (No. 25).
Tell us: are you surprised by these results?
For the complete Luxury Market Index rankings, head on over to Previews® Inside Out.