- Inventory matches ten year low
- Median sales price jumps again
- Average sales price below list price
- Sales lowest since February
The inventory of homes for sale in Los Alto Hills fell for the third month and matched the ten year low (that’s all the further back I looked) that was set in December 2013 (13 homes). The median sales price was higher than it has been in at least five years (possibly ever) but the sales price to list price ratio dropped below 100%.
December’s median sales price was $5,060,000, which was 31% or $1.2 million higher than November’s $3.85 million, which was already the second highest of the year. December was also 31% or $2.2 million higher than a year ago. The median price for the year (2014) was $3.25 million, which was the highest in at least 10 years.
The average price per square foot also increased in December, from $1,008 in November to $1,214 in December, a 20% ($204) jump. December’s average was 5% higher than a year ago. The one price indicator that fell in December was the ratio of the average sales price to the average list price. The ratio was 107% in November but fell to 99% in December. One year ago, the ratio was about 101%.
Closed sales fell for the first time in four months. Six sales closed in December, down five from 11 in November. That compares to eight that closed in December 2013.
Only 13 properties were on the market at the end of December, the lowest inventory level here in at least 10 years, matched only by December 2013. Pending sales were unchanged at seven during December. That was more than double the three homes that went to contract in December 2013. A 1.9 month supply relative to pending sales was available at the end of December, the lowest level since March 2013’s 1.7 months. One year ago, there was 4.3 months of inventory.
The average length on the market in December was 41 days, up 10 days from 31 in November but six fewer days than in December 2013.
Analysis by Price Range
Three homes were actively listed for less than $3 million, one more than in November and two more than a year ago. Four sales went to contract in this segment in December, unchanged from November and one more than in December 2013. That left about three weeks of inventory on the market at the end of December, up from two weeks at the end of November. This segment accounted for 23% of Los Altos Hills’ inventory and 57% of sales.
The inventory of homes priced from $3 million to $4,999,999 fell by one, from five at the end of November (as well as a year earlier) to four at the end of December. Two sales went pending during December, up from none in both November and December 2013. Two months of inventory was on the market at the end of December. 31% of Los Alto Hills’ inventory and 29% of its pending sales were in this price range.
The $5 million-plus market segment took the biggest hit with regards to both inventory and sales in December. Inventory was cut nearly in half, from 11 at the end of November to six at the end of December. That is the lowest inventory in this segment in at least three years. Seven homes were available a year ago. Only one sale went to contract in December, compared to one in November and none a year ago. Inventory relative to pending sales actually increased to six months, due to the fact that only one sale went pending.