Do I need a full loan approval before looking at homes in Silicon Valley?

Yes — a full underwriting approval is essential before seriously shopping for homes in Silicon Valley. A basic pre-qualification letter is not sufficient. Winning offers here are almost always written without a loan contingency, which is only safe to do when your documents have already cleared underwriting with a trusted lender.

How much earnest money is required when buying a home in Silicon Valley?

Buyers should expect to wire 3% of the purchase price to escrow within one business day of offer acceptance. On a $2 million home, that's $60,000. This is a firm expectation in the Silicon Valley market — there is no flexibility on the timeline.

Can I waive contingencies when buying a home in Silicon Valley?

Yes, and in most cases you should expect to. Approximately 95% of winning offers in Silicon Valley are written with no loan, appraisal, or inspection contingency. This is made safe by getting full underwriting approval in advance and thoroughly reviewing the seller-provided inspection package before submitting your offer.

What should a winning offer package include in Silicon Valley?

A competitive offer package should include the purchase price, a 15- to 30-day close timeline, a 3% earnest money deposit, little to no contingencies, a full loan approval letter, official bank statements as proof of funds, and signed seller disclosures. Presentation and completeness signal to the listing agent that your deal will actually close.

Is homeowners insurance hard to get in Silicon Valley?

It can be, and it is getting harder. With major carriers exiting California due to wildfire risk, some properties face limited or expensive coverage options. Buyers should confirm insurability and estimated premiums before writing an offer — discovering a coverage problem after acceptance can delay or collapse a transaction.

Cheaper AND Move-In Ready?

15 Oct

Written By Tracy Pina Real Estate

Let's Be Honest About What's Really Holding You Back

I hear some version of this almost every week from first-time buyers:

"We'd jump on something if the price came down and the house didn't need any work."

It sounds reasonable. It sounds careful. It's also a brush-off, and most people saying it don't even realize they're doing it.

So let me be blunt, because most agents won't be: those two wishes cancel each other out. And when someone leads with both, the house isn't the problem. Something you haven't said out loud is.

Lower price and less work don't come in the same box

Here's how pricing works in every market, including ours. Move-in-ready homes cost more. That's why they cost more. Someone already paid for the new roof, the updated kitchen, the fresh floors, and that cost is built into the price.

Homes that are priced lower are usually priced lower for a reason: dated finishes, deferred maintenance, a project or two waiting for the next owner.

So when you tell me you want a lower price and no work, you're asking for the one house every other buyer in Silicon Valley is also looking for. When it shows up, it doesn't sit. It gets multiple offers and sells over asking.

You can have one or the other. Not both. Pick. And if you can't pick, that tells you something about where you really are.

What Silicon Valley prices are actually doing right now

Let's look at real numbers, not headlines.

In Santa Clara County, prices have been roughly flat to slightly down compared to a year ago, depending on which data source you use. Zillow's home value index showed the typical county home value down slightly year over year as of mid-2026. MLSListings reported the median single-family sale price in May 2026 was a few percent below May 2025.

Translation: this is not a frenzy year. You are not competing against 2021. If you've been waiting for a calmer moment to buy, this is closer to it than most years.

Prices here don't move in a straight line. The last few years have been choppy, and prices dipped in 2022 and into early 2023 when rates jumped. Then they came back and passed the old highs within about two years. Zoom out and look at the history, and the long-term trend in this valley has been up, because the demand drivers here don't go away: the jobs, the schools, the limited land.

So if you're waiting for the perfect house to get cheaper, be honest about what you're doing. You're betting against this valley's history, and paying rent while you wait to find out.

So what's really going on?

I've heard this sentence a hundred times, and it's almost never about the house. I can show you the math all day. Comps, payment breakdowns, rent-versus-own. But I don't think math is the issue.

When "a bit cheaper and less work" is the reason, there's usually something underneath it. Sometimes it's:

The area. You're not sure you want to put down roots here.
Your job. You're wondering if your role is stable, or if you even want it.
Your relationship. This one's sensitive, but be honest with yourself. Is this the person you want to put down roots with? Or is one of you more ready for the next step than the other?
Fear. It's a huge number and a commitment, and "the price isn't right" feels safer to say than "I'm nervous."

All of those are real. None of them are house problems. Knock $500K off the price, and you'd still find a reason not to write the offer.

This is a look-in-the-mirror moment

Before you book your next showing, sit down with whoever you're buying with and answer these honestly:

If the perfect house came up tomorrow at a price we could afford, would we write an offer? Or would we find another reason to wait?
Do we both actually want to buy, and do we want to buy here?
How confident are we in our income for the next few years?
If we had to choose, which one would it be: a little more money and move-in ready, or a little less money and some weekend projects?

If the honest answer is "we're not ready," then own it. Say it to each other and to your agent, and stop blaming the price.

But if the answer is "we're ready, we're just nervous," then stop circling. Every month you wait is another month of rent and another month of your plans on hold.

Let's talk honestly

I'd rather have one honest conversation with you than ten showings that go nowhere. If you're ready to figure out what's really holding you back, and what you can actually afford, reach out. No sugarcoating. Just straight answers.

first time homebuyersbuying a home

Tracy Pina Real Estate