Something caught my eye in the South Bay multi-family numbers this week that I wanted to get other investors' takes on.

Campbell 2-4 unit median sale price came in at $1.57M — that's down 23.5% year-over-year. These properties are also sitting at 63 days on market, which is pretty sluggish for a city where single-family homes move in about 21 days. Meanwhile, San Jose small multi-family is at $1.43M (down 17.4% YoY) but only sitting for 9 days on market with 33 units available. So buyers are still snapping up San Jose duplexes and triplexes quickly even with the price correction.

The other thing I noticed: downtown San Jose (95113) is showing a 6.1% gross rent yield based on current home values around $670K and rents above $3,300/mo. For the Bay Area, that's about as good as it gets for a house-hack play.

What I'm wondering is whether Campbell's steeper price drop signals something specific to that submarket — maybe sellers overpriced coming out of last spring — or if it's the start of a broader correction in South Bay small multi-family. The fact that San Jose multi-family is still moving in under 10 days makes me think demand is there, just not at last year's price points.

Anyone else investing in small multi-family in the South Bay or similar high-cost California markets? Curious if you're seeing similar divergences between cities that are only a few miles apart. I pull this data weekly and happy to dig into specific neighborhoods if anyone's looking at a deal down here.