Sales Tax

A key barometer of the Morgan Hill economy is sales tax receipts.  Many local businesses report sales tax receipts on a monthly basis to the State of California.  The City share of sales tax (1%) is received on a quarterly basis from the State of California.  Based upon the most recent quarter 4th Quarter 2018, the City showed a 12% increase in taxable receipts.

Areas contributing to the growth.

• Auto and Transportation sector

• Fuel and Service Stations

• Restaurants and Hotels

Interestingly enough, the County of Santa Clara as a whole only showed a growth of 2.5% over the same period.

Unemployment Rate in Morgan is under 3%

The City of Morgan Hill continues to have a tight labor market.  The current unemployment rate for Morgan Hill is 2.8% which translates into  approximately 700 individual that are able and willing to work who are unable to secure employment.  The low unemployment rate continues to be mismatched with the local job market in which there are hundreds of job openings.

Using online search platforms including Indeed, Monster, Linkedin and Craigslist, the number of job openings at Morgan Hill establishments exceeds 300 openings upwards of 900 for the respective platforms.

Morgan Hill Housing Market

While the number of single family homes sold in Morgan Hill in 2018 was down by 14%, the average sales price increased by 11% or $111,200. Both number of new listings and number of days on the market trended down.

For condominiums and townhouses the story was a little different.  The number of homes sold increased by nearly 22%, the average sales price increased nearly 16% or $93,000.  The number of days on the market fell from 27 to 22.

Relative to the rest of Santa Clara County, Morgan Hill single family homes remains about 1/3rd of the cost than many other Silicon Valley cities.

Sources: Santa Clara County Association of Realtors, HdLCompanies/CDFTA, State of California Employment Development Department (EDD)