- Inventory falls
- Pending sales up
- Median sales price down from March high
- $3M and under market fast and furious
The Los Alto real estate market remained hot in April. Demand remained very strong, with sales increasing and inventory declining. The median sales price fell in April from March’s high but that was more a factor of mix (more low end sales) than an actual drop in prices. Homes sold for 113% of list and were on the market for an average of only 11 days.
April’s median sales price was $2,675,000, down from $3,075,000 in March (the first time it was over $3 million here). April’s median sales price was still 16% higher than a April 2014’s $2,310,000. The price per square foot, which also set a new record in April, fell a little, from $1,343 in March to $1,220 in April, which was still higher than a year ago ($1,227). Sales closed in April for 113% of their list price, up from 111% in March and the highest ratio since April 2014’s 118%.
There were 31 closed sales in April, up three from 28 in March but two less than a year ago. With pending sales increasing, we will see closed sales increase in the next month or two (at least – increase should continue as we head into summer).
Pending sales jumped from 27 in March to 46 in April, a 70% increase. April had 14 more sales (48%) than a year ago. Inventory fell by five units to end April with 40 homes actively listed, compared to 49 a year ago. Inventory relative to pending sales was cut in half, from 1.7 months at the end of March to 0.9 months at the end of April.
For three of the past four months, homes have been listed for an average of 11 or fewer days. April’s sales were available for an average of only 10 days.
Analysis by Price Range
Pending sales of homes priced under $2 million more than doubled, from five in March to 12 in April. Inventory was cut by four units to five at the end of April. That left less than a two week supply at the end of April, down from 1.9 months at the end of March. This segment accounted for 13% of Los Altos’ inventory and 26% of its pending sales.
The $2 million to $2,999,999 price range was the center of activity here again in April. 26 sales went to contract in April, 57% of the city’s total. That was nearly double March’s 14 sales. Inventory fell from 20 homes at the end of March to 18 at the end of April, accounting for 45% of the total. Inventory relative to pending sales was cut from 1.4 months at the end of March to 0.7 months at the end of April.
Both sales and inventory of homes priced at $3 million or more were relatively flat in April. Eight sales went to contract, the same as in March. 17 homes were actively listed at the end of April, one more than at the end of March. Inventory relative to pending sales stood at 2.1 months at the end of April. 43% of Los Altos’ inventory and 17% of its pending sales were priced at $3M-plus.