Jeff Stricker & Steve Tenbroeck
Alain Pinel
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Archive for the 'Monthly Snapshots' Category

Hot Market – Are Buyers Burning Out?

Home buyers have faced a red-hot real estate market for more than two years. It has been common in past hot markets for buyers to become “fatigued” after an extended time of difficult hot market conditions (low inventory, multiple offers, and highly over-asking offers). Some Realtors have indicated to us that they are starting to experience more home buyers backing away from multiple offers and/or becoming more selective. This may indicate they are becoming cautious as a result of “market fatigue”. We will keep you apprised of whether this is a continuing trend or only a short-lived lull in the market. Meanwhile, multiple offers are still the norm due to low inventory. This is also reflected in the few closed home sales in during the month of February.


In the charts below, you’ll find 15 years of data for market activity and median sales price for the month of February for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact us.

Palo Alto Median Price Read the rest of this entry »

Topics: Commentary, Market Trends, Monthly Snapshots      Please leave a comment.

Will This Hot Market Continue?

As you review the graphs below, you will see that you’d have to go back to 2005 or 2000 to find a market as low in supply of homes for sale as there are in the current market. The median sales price reflects what is being sold rather than how much homes are appreciating in value.  A better metric is the average percentage of list price received by sellers. The current overbidding is as high, or higher, than it was in ’05 and ’00.

This market will continue as it is until the next financial shock causes homeowners and buyers to believe that home prices will fall. Meanwhile, prices will continue to rise as demand for homes is far greater than the supply.


In the charts below, you’ll find 15 years of data for market activity and median sales price for the month of January for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact us.

PA-Med-SP---Jan-00-14-fixed Read the rest of this entry »

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On The Brink Or More Of The Same?

2000, 2007, and 2013 have been the hottest real estate markets in our area in the last twenty years! Extremely low interest rates are keeping affordability up. Couple that with an influx of cash from successful companies and foreign investors and you have increased demand for the very few homeowners who have any desire to sell at this time.

Unless there is a significant financial shock to the economy we expect the spring market to be very hot, pushing prices higher. But keep in mind that 2001 and 2008 were terrible years for sellers.


In the charts below, you’ll find 15 years of data for market activity and median sales price for the month of November for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact us.

Palo Alto Median PricePalo Alto Market ActivityLos Altos Median PriceLos Altos Market ActivityMenlo Park Median PriceMenlo Park Market ActivityLos Altos Hills Median PriceLos Altos Hills Market ActivityMountain View Median PriceMountain View Market Activity

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Sellers Are Still Holding Back

In spite of record sales prices, most potential sellers are still waiting (for the top?) to put their homes on the market. Inventories of homes for sale are at an all-time low! The imbalance of supply and demand has caused homes to continue to sell with multiple offers, well over the asking price and in record time (see the average days on market in the following charts).


In the charts below, you’ll find 15 years of data for market activity and median sales price for the month of October for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact us.

Palo Alto Median Price Read the rest of this entry »

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September Stays Hot!

The lack of homes for sale continued through September and it remained a “Seller’s Market”. New record lows were set in many local towns while new highs were established for median sales prices. The question in everyone’s mind now is, “How will the economic stalemate and government shutdown impact the local housing market?” Since the housing market changes direction much more slowly than other markets, we’ll have to wait to see how October and November play out.

FOR SELLERS:
Now’s the time. Don’t wait for the inventory of homes for sale to climb.

FOR BUYERS:
Select carefully!  It’s better in the long run to “over pay” for a well-located home with few defects than to accept a property with irremediable issues simply because it seems like a “good deal”.


In the charts below, you’ll find 15 years of data for market activity and median sales price for the month of September for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact us.

Palo Alto Median Price Read the rest of this entry »

Topics: Commentary, Market Trends, Monthly Snapshots      Comments Off