Time to pack away the swimsuits and start packing school lunches. Summer is over and we are ready for the fall real estate season!
But first, a look at Q3…
This was a very predictable quarter. After a robust tail end of the Q2 market in June, where we saw sale prices at their peak, things remained quite robust into July. We started seeing a slow down in August, which is indicative of our normal real estate market flow. Buyers are worn out by this time of the year and generally pull away from the market thinking, “I’ll be back in the fall when the inventory picks up.” Well folks…that may not be the case. Inventory is down about 31% from Q3 last year, and if that trend continues in Q4, there won’t be an inventory surge.
Menlo Park west of 101 Inventory We are definitely seeing a slow down. Homes are staying on the market longer due to the buyer fatigue we normally see when prices are so high, and also because buyers are more selective about properties. Now is a great opportunity to buy a house with little or no competition, and in some cases, we are seeing homes selling with a contingencies.
Sellers are still riding the wave of the high prices of the spring market, although the bidding may not be as frenzied now. Prices are holding steady and it’s still a great time to sell. Even though homes may remain on the market longer, sellers are holding steady and generally getting list price and sometimes multiple offers.
As I write this there are currently seven properties listed for sale in the area, ranging in price from $1.3M to $5.6M, with an average days on market at 35. The median price for Q3 is up 14% to 22% from this time last year, depending on the neighborhood.
* Menlo Park East of El Camino Real includes the area located between El Camino, Encinal Avenue, 101, and San Francisquito Creek. This area includes the following neighborhoods: Linfield Oaks, Felton Gables, Park Forest, Seminary/Vintage, Menlo Oaks, The Willows, Suburban Park, Flood Triangle, Lorelei Manor, and North Fair Oaks.