- Average sales price less than 100% of list again
- Four sales over $5 million go to contact
- Time on market rises sharply
The Los Alto Hills real estate market softened somewhat in September. While the median sales price increased a little, other price indicators declined. The average sales price was less than 100% of list for the second time in three months. Homes were on the market longer than at any time since August 2013. Pending sales of homes priced over $5 million were at their highest level since April 2013.
The median sales price increased a little from what was already a high level. September’s median sales price was $3,653,000, 2% or $70,000 higher than August’s $3,565,000. September’s median price was $235,000 higher (8%) than a year ago when it was $3,400,000.
The average price per square foot dipped $32 from $1,221 in August to $1,189 in September. That was a 2.6% decline. September was still $332 or 39% higher than September 2013’s $857. After jumping sharply in August, the ratio of sales price to list price fell just as sharply in September. September’s ratio was 97.3%, versus 111% in August and 95% a year ago.
Closed sales remained low with only eight in September, one less than in August. Closed sales have been in single digits all year, with the exception of March and June (10 and 11, respectively). Seven sales closed in September 2013.
24 homes were actively listed at the end of August, down from 28 at the end of July and 38 a year ago. Nine sales went to contract in August, compared to seven in July and 10 a year ago. Inventory relative to pending sales decreased from 4.0 months at the end of July to 2.7 months at the end of August.
Homes were listed for an average of 80 day in September, up from 46 in August. That was the longest since August 2013 when homes were on the market for an average of 105 days. Homes were available for an average of 36 days in September 2013.
Analysis by Price Range
There wasn’t much change in the market for homes priced under $3 million. Inventory was unchanged at five and pending sales increased by one unit to six in September. 11 properties were actively listed and three sales went pending a year ago. 1.0 month of inventory was available at the end of September, up from 0.8 months at the end of August. This segment accounted for 42% of the sales that went pending in September and 19% of the inventory at the end of the month.
The inventory of homes in the $3 million to $4,999,999 market increased by one unit to end September with nine. That was 10 less properties than were on the market a year earlier. Three sales went to contract in September, unchanged from August and a year ago. Three months of inventory was available at the end of September, up from 2.7 months at the end of September. 33% of Los Altos Hills’ inventory and 25% of its pending sales were in this price range.
Four sales of homes priced at $5 million and up went to contract in September, the most since April 2013. Pending sales in this segment were a third of all pending sales here. There were no pending sales in this segment in August and only one a year ago. Two homes were added to inventory, to end September with 13. That was 48% of Los Altos Hills total inventory.