We are seeing 2 trends in the real estate markets on the Peninsula. Some continued to stay strong through the summer months with August even outshining some of the performances in the spring. Others succumbed to the typical end of summer slowdown. In either event, the overall market trends are strong with median and average prices increasing year over year. With the recent downturn in the stock market, there is more uncertainty now than earlier this year, and only time will tell how this may impact our housing market. I anticipate more homes coming on the market in September. This has typically been a key window of opportunity for both buyer and sellers to get ahead of the more competitive early spring market. See more specifics below on the target areas of Portola Valley, Woodside, Atherton, Menlo Park, Palo Alto, Los Altos and Los Altos Hills.

Portola Valley

Only 6 homes closed escrow in Portola Valley in August. All sold between $2 and $5 million. Four of these sold for more than list price indicating continued buyer demand. Another 4 homes came on the market in August, one has already sold.

Overall this year, the average price shows an increase of 14% to $3,207,851 and the median price an increase of 1% to $2,640,000. The biggest challenge this year continues to be low inventory, with currently just 13 homes for sale, 4 of which listed in September.

Woodside

Eleven homes closed escrow, a 10% increase compared to August of last year and the third strongest month so far this year. Most notably, 3 homes sold over $7 million, and 2 for more than list price. Another 3 homes sold for more than list price. And an additional 5 homes are in contract and pending sale. In August 14 new listings came on the market, totaling 31 homes for sale. Only 3 new listings have come on the market so far in September.

Atherton

Only 7 homes closed escrow in Atherton in August, the lowest number since January of this year, and only 3 of these sold for more than list price. An additional 4 homes are currently in contract and pending sale.

Overall, however, prices remain at record highs with the average price up 29% at $6,909,660 and the median price up 45% at $5,740,000. In August, one very high-end property sold for $17.7 million; the rest ranged between $3.3 and $5.58 million. Currently, Atherton has 24 homes for sale, 12 in excess of $10 million. Only 5 new listings have come on the market so far in September.

Menlo Park

In typical summer fashion, the number of homes that closed escrow declined in Menlo Park in August, as did the number of homes selling at more than list price, particularly in the lowest end of the market. Of the 36 sales, 16 homes sold for more than list price and on average, homes sold in 26 days, the highest it has been since January.

Overall, prices remain at record highs with the average price up 15% at $2,162,517 and the median price up 21% at $1,960,000. Currently, Menlo Park has 37 homes for sale, 24 of which came on the market in September.

Palo Alto

August proved to be another incredible month for Palo Alto home sales with 45 homes that closed escrow, an 18% increase compared to August of last year. Most notably, all but 3 of the homes sold for more than list price and the highest end of the market performed particularly well with 6 sales in excess of $4 million. No homes sold for less than $1.55 million. Additionally, 16 homes are pending sale, 9 of which went into contract in the first 10 days of September. The current supply of homes for sale has reached record highs for 2015. In August, there were 53 new listings compared to just 38 in the same period last year, as well as 18 new listings in September so far.

Los Altos & Los Altos Hills

Thirty-three homes closed escrow in Los Altos, a 27% increase compared to August of last year. In Los Altos Hills, 11 homes sold compared to 8 in August of last year. Most notably, all but 3 of the sales in Los Altos Hills sold over list price and the highest end performed particularly well with 4 sales in excess of $4 million. In Los Altos, 21 of the 33 sales were for more than list price. Prices remain at record highs with the average price up 18% in Los Altos at $2,778,284 and up 26% in Los Altos Hills at $4,622,292.

Currently, there are 23 homes for sale in Los Altos and 36 in Los Altos Hills – higher levels than we have seen most of this year. Already in September alone, there have been 24 new listings.