Updated May 2020
Shelter-in-place orders reduced the supply of New Listings by 45%. Home values remained consistent with the prior year. Market demand softened with a spike in average days on market in April and final sales price only slightly (0.7%) over list.
Menlo Park is a wonderful community with a fun downtown. Top performing elementary schools. Just blocks away from Stanford Shopping Center and downtown Palo Alto. Click on links to see additional information on the Menlo Park Community and Schools.
Menlo Park single family residences start at $1.0M. Homes in the Menlo Park City School district command a higher price. Homes in the northern areas are more affordable and the east Menlo Park homes the lowest price.
The Annual Median Price for Menlo Park homes declined 7.7% during 2019, which is slightly higher than the 6.6% decline for Silicon Valley. Keep in mind this decline follows a 14% jump in 2018 and is still 5% higher than 2017. The annual increase in the median price for Menlo Park homes has averaged 6.5% per year since 1998 (CAGR).
Market demand for Menlo Park homes declined in 2019. Average Days on Market (red line) increased slightly from 21 to 23 days, but continues at historically short time to sell. The Final Sales vs. List Price is declined significantly to 2.1% over list compared to 7.7% in 2018. This suggests that homes are still selling relatively quickly, but with fewer offers.
The supply of New Listings increase significantly in 2019 to their highest level since 2012. Interestingly, the number of Closed Sales are up slightly, but are still at historic lows. Suggests a potential increase in Inventory that could increase pressure on prices.
The final sales vs. list price varies significantly by how long the listing has been on the market. New listings selling within the first week or two of going on market, can be expected to sell for up to 10% over list. Listings that have been on the market for over 2 weeks are typically selling for 3-7% under list. Buyers and Sellers should plan accordingly.
The $ per SQFT varies by size of home. The scatter chart above shows the distribution of $/SQFT and the associated size of the home. Each dot represents a Closed Sale in 2019. The 2019 average was $1,357 per SQFT.
The Quarterly Median Price provides a good of the trend in home values. There is more volatility in Menlo Park than most cities.
This Monthly Median Price for Menlo Park homes provides more insight into the ebb and flow of our real estate market. Keep in mind that the fluctuation may be due to a change in the mix of homes selling in a particular month, not necessarily changes in home values.
The average Days on Market for 2019-20 is higher than prior years. The spikes are typically in Dec-Jan during the slowest time of the year. This is a good time to negotiate the price, however the inventory of available homes to choose from is at its low-point.
The average Sales Price vs. List Price is now in the 2-3% over List range. This is a significant decline from 9% in 2017-18. This reflects fewer number of offers competing for the same home.
The Inventory of Active listings increased significantly in 2019, most likely reflecting the dramatic increase in the supply of New Listings.
The supply of New Listings for homes in Menlo Park was significantly higher during March through May. Note the seasonality with December typically being the low-point during the year.
The number of Closed Sales is up slightly from 2018, but consistent with recent years. Note that Closed Sales are typically recorded the month following the contractual sale.
Source: The data above is obtained directly from MLSlistings, the multiple listing service (MLS) serving Santa Clara and San Mateo counties. The information is deemed to be accurate, however is not guaranteed.