- Price indicators fell – bat remain at high level
- Inventory and sales up in $1 million to $2 million range
- Overall inventory highest since October
All price indicators in April were at their highest levels in years so it’s not alarming that those same indicators moved lower in May. They were still well above their levels of a year ago. Homes in the $1 million to $2 million range passed the market with strong gains in both inventory and pending sales.
The median sales price of a single family detached home in Menlo Park in May was $1,875,000, a decline of $100,000 or 5% from April. May’s median price was still $550,000 (42%) higher than a year ago when it was $1,325,000. The average price per square foot fell from $980 in April to $936 in May, a 5.5% drop. That was still 18% ($143) higher than May 2013’s $783. Sales in May closed for 107% of their list price, down from 109% in April but the same as a year ago.
Closed sales increased by one unit to 29 in May, extending a streak that began in February. Sales were still well below a year ago. 52 sales closed in May 2013.
Pending sales increased 33%, from 30 in April to 40 in May. 37 sales went pending in May 2013. 36 homes were actively listed at the end of May, up 71% from 21 at the end of April. 36 homes were also on the market a year ago. Inventory relative to pending sales stood at 0.9 months at the end of May, up from 0.7 months at the end of April.
May’s closed sales were on the market for an average of 25 days, six more than April’s sales. That was 23 fewer days than a year earlier.
Analysis by Price Range
Both pending sales and inventory of homes priced under $1 million increased in May. Seven sales went into contract during May, two more than in April and the same number as in May 2013. Six properties were actively listed at the end of May, double the number from April and equal to May 2013. That left 0.9 months of available at the end of May, up from 0.6 months at the end of April. 17% of Menlo Park’s inventory and 18% of its pending sales were priced under $1 million.
Homes in the $1 million to $2,999,999 range drove the market in May. The number of sales that went pending nearly doubled, from 11 in April to 20 in May. 17 sales went pending a year ago. Inventory more than doubled in this price range, from nine at the end of April to 22 at the end of May. That compares to 11 at the end of May 2013. Inventory relative to pending sales increased form 0.8 months at the end of April to 1.1at the end of May. This price range accounted for 61% of Menlo Park’s inventory and 50% of the sales that went into contract.
Both the number of sales that went into contract and the inventory of homes priced at $3 million-plus fell by one unit in May. 13 sales went pending during the month and eight homes were actively listed at the end of the month. 0.6 months of inventory relative to pending sales were on the market at the end of May, unchanged from April. This segment accounted for 33% of pending sales and 22% of inventory.