Published October 11, 2026 in Market Update

More homes are for sale here, but buyers are still writing offers

By Brad Bell

Real estate, East San Jose & North Valley - $800K+

The Real Estate Data Aggregator counted 360 homes for sale across East San Jose and North Valley in the three months ending August 31, 2026. That is up 36.4% from the same months a year before. More supply gives buyers room to compare. It also means sellers cannot assume one price fits all.

Even so, buyers kept writing offers. The Real Estate Data Aggregator counted 505 pending sales across the nine ZIP codes in that same period. Demand is still there. It is just more selective than it was a year ago.

Rates make that selectivity sharper. CNBC reported the average 30-year fixed rate hit 7.49% last week. Realtor.com reported rates topped 7% in September 2026. Every extra point of rate cuts what a buyer can afford, so price and condition matter more than they did.

What sold, and what it cost

The Real Estate Data Aggregator counted 470 closed sales across the region in the three months ending August 31, 2026. That is down 11.7% from a year before. Fewer closings, but prices held in most ZIP codes.

Where prices dipped the most

95148 and 95131 held almost flat, each down just 0.3%. 95132 fell the most at 10.4%, even though it also had the highest median price at $1,560,000. A price drop does not always mean a slow market. In 95132, the Real Estate Data Aggregator counted 52.9% of homes selling above list.

Where buyers moved fastest

95132 and 95035 (Milpitas) led on speed. Nearly 44% of 95132 homes and 43% of 95035 homes went under contract within two weeks. 95148 was the slowest, with 29.4% under contract that fast, and days on market there grew 10 days longer than a year before.

Supply grew, but not evenly

95035 and 95132 saw inventory roughly double. 95116 was the only ZIP where inventory fell, down 18.6%. Fewer choices in one pocket can mean a different result than the broader trend suggests.

Pending sales: still active, but softer in most areas

95132 stood out with pending sales up 35.6%, the only ZIP besides 95116 to grow on that measure. Most others pulled back. That matches the story: more inventory, buyers taking a little longer, but still committing.

The wider picture

Realtor.com reported that median list prices in the West fell 0.8% year over year in September 2026. Price reductions showed up on 22.8% of West region listings that month. This market is not immune to that pressure, but 505 pending sales across nine ZIP codes says demand here has not gone quiet.

The Federal Housing Finance Agency reported U.S. house prices rose 2.6% from July 2025 to July 2026, and 0.3% from June to July on a seasonally adjusted basis. National prices are still moving up, slowly. Local prices in this market dipped in most ZIP codes, which is a different story.

Realtor.com also reported San Jose median rent for 0-2 bedroom listings reached $3,479 in August 2026, up 4.7% year over year. About 22.5% of San Jose rental listings carried a concession that month. Rising rents keep some buyers motivated even when ownership costs are high.

One street can read very differently from its ZIP code. The numbers above cover broad areas. If you want to know what is happening on your block, that is a shorter conversation than this post.