Atherton Market Conditions April 2015
- Pending sales highest in years
- Inventory down
- Average sales price below list price for second month
- Homes on market for less than a month
The inventory of available homes for sale in Atherton was at its lowest level since January. Homes priced over $5 million lead the decline. Pending sales increased in April, fueled largely by demand for homes in the $3 million to $5 million range. Price indicators were down, a little surprising given the strong demand. However, given the low sales volumes and wide price range of homes available here, price indicators can be volatile.
The median sales price in April was $6.6 million, down from $7.5 million in March but higher than the $3.3 million from a year ago. April’s sales closed for about 9% of their list price, on average, up from 97% in March, but it was the second consecutive month this ratio was below 100%. The price per square foot also fell in April, from $1,259 in March to $1,172 in April. A year ago, the price per square foot was $992.
April had 11 sales close during the month, up from six in March. April’s 11 sales was the most here since there were 11 in March 2014.
Pending sales doubled, from seven in March to 14 in April. That compares to 11 in April 2014. 18 properties were actively listed at the end of April, six fewer than March’s 24. April’s inventory was less than half that of April 2014, when 42 homes were on the market. A 1.3 month supply was available at the end of April. One year ago, we had a 3.8 month supply.
The length of time homes are on the market here has dropped dramatically in the past few months, from 133 days in February to 60 days in March, all the way down to 26 days in April.
Analysis by Price Range
Two properties priced under $3 million were on the market at the end of April and one sale went to contract during the month. That is typical of what we have seen in this segment for a while. March also had one sale go pending and ended with no inventory. 11% of Atherton’s inventory and 7% of its pending sales were priced below $3 million.
The $3 million to $4,999,999 million price range saw the most activity in April, with six sales going pending. That is the most in this segment in two years. Inventory was flat at four units. That dropped inventory relative to pending sales from 4 months at the end of March to 0.7 months at the end of April. This segment accounted for 43% of Atherton’s pending sales and 22% of its inventory.
The inventory of homes priced from $5 million to $9,999,999 dropped from seven at the end of March to only two at the end of April. Pending sales increased by two to five during April. A0.4 month supply was on the market at the end of April, down from 2.3 months at the end of March. 36% of sales and 11% of inventory were in this price range.
56% of Atherton’s inventory at the end of April (10 homes) was priced at $10 million or more. 13 properties were actively listed in this segment at the end of March. Two sales went to contract in April, representing 14% of the city’s total. The ten homes on the market represented at 5.0 month supply, down from 6.5 months at the end of March.