Published October 11, 2026 in Market Update

More listings gave Los Gatos Mountains buyers room, but not a price break

By Brad Bell

Real estate, Los Gatos Mountains - $700K+

The one fact that changes what sellers should do right now: more competition. The Real Estate Data Aggregator counted 63 homes for sale in ZIP 95033 during the three months ending August 31, 2026. That is up 26% from the same months in 2025. More homes on the market means buyers compare more carefully. Pricing and prep matter more than they did a year ago.

The median sale price still came in at $1,500,000, up 11.1% from a year before, according to the Real Estate Data Aggregator. So prices did not fall. But homes took longer to get there. The median days on market was 59 days, which is 14 days longer than the same period in 2025.

More supply, but buyers are still closing

The Real Estate Data Aggregator counted 49 new listings in the three months ending August 31, 2026. That is up 25.6% from 2025. Supply at 5.9 months of inventory is a real shift. A year ago it was 4.4 months. Sellers have more neighbors to compete with.

At the same time, pending sales rose. The Real Estate Data Aggregator counted 39 pending sales, up 18.2% from the same period in 2025. Buyers are still moving. They are just taking more time to decide.

The rate picture is making buyers slower everywhere

Nationally, mortgage rates climbed above 7% for the first time since January 2025, according to Realtor.com. By early October, CNBC reported the average 30-year fixed rate on conforming loans had reached 7.49%. That is 110 basis points higher than the 6.30% rate from a year ago, Realtor.com said. Higher rates slow decisions. That is true in the mountains too.

Realtor.com also reported that 20.8% of listings nationally had price cuts in September 2026, the highest share since October 2022. Active listings nationally topped 1.16 million homes, Realtor.com said. Los Gatos Mountains inventory moved the same direction, just from a much smaller base.

What sold, and how close to asking

The Real Estate Data Aggregator counted 33 homes sold in ZIP 95033 during the three months ending August 31, 2026. That is down 5.7% from the same period in 2025. Fewer sales, but the ones that closed came in at 97.1% of list price on average. That is down 1.7 points from a year before. Sellers gave a little ground, but not much.

About 12.1% of homes sold above list price, according to the Real Estate Data Aggregator. That is up 0.7 points from 2025. A small share, but it shows that well-priced homes in the right condition still drew competition.

That last number is worth a pause. The Real Estate Data Aggregator found that 23.1% of homes went under contract within two weeks of listing. That is up 11 points from the same period in 2025. Some homes are still moving fast. Those are the ones priced right from the start.

What this means if you own here

Prices are up. Demand is real. But 59 median days on market tells you buyers are not rushing. With 5.9 months of supply and rates near 7.49% per CNBC, a home that is overpriced or underprepared will sit. The homes that sold in two weeks did not get lucky. They were priced against what actually sold.

One more thing: ZIP 95033 covers a lot of ground. A home on a ridge with a view reads differently from one tucked in a canyon with a long driveway. The ZIP code number is a starting point, not the whole story.