Updated January 2021
The median price of Menlo Park homes increased 7.3% over last year and returned to its 2018 peak. A market that has rapidly recovered from Covid-related restrictions. Prices have appreciated an average of 6.9% since 1998 (CAGR).
Market demand for Menlo Park homes remains strong. Average Days on Market (red line) remains at historic lows. The Final Sales vs. List Price has declined significantly to near parity with list price. This suggests that homes are still selling relatively quickly, but with fewer offers. Note home that sell within the first two weeks of going on market can sell for up to 15% over list (see scatter charter below).
The supply of New Listings has increased significantly since 2016. Sales is consistent with recent years.
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. 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.
The average $ per SQFT was $1,313 in 2020. The $/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 2020.
The Quarterly Median Price shows that the first two quarters of 2020 were consistent with the first two quarters of 2019, both of which were a decline from a spike during the first half of 2018. Suggests that home values are at a plateau. The annual increase in the median price for Menlo Park homes has averaged 6.9% per year since 1998 (CAGR).
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.
Monthly average days on market shows a dramatic acceleration in market demand in May-June, reflecting pent-up demand. The spikes are typically in Dec-Jan during the slowest time of the year.
The final sales price is now just slightly over list. This is a significant decline from 9% in 2017-18. This reflects fewer number of offers competing for the same home.
Final sales price vs. List price varies significantly by number of days on market. Homes selling during the first two weeks on market typically sell for over list, while homes on the market typically sell for under list. Buyers should plan on paying 5-10% over list in order to compete for the more desirable listings. Note: this is using the current list price, which may be after a price reduction.
The supply of New Listings for homes in Menlo Park jumped dramatically in May-June as Covid restrictions were relaxed. I expect July-Oct to continue this trend. Note the seasonality with December typically being the low-point during the year.
The Inventory of Active listings spiked in May-June as sellers returned to market after holding-back in Mar-April.
The number of Sales spiked up in May-June as the market returned.
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.