Palo Alto
$3,170,000.00
Medium Sale Price
9
# of Sales
Menlo Park
$2,011,000.00
Medium Sale Price
13
# of Sales
Los Altos
$3,411,500.00
Medium Sale Price
10
# of Sales
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In 2022, the market saw a dramatic shift from Q2 (spring), at which time the market peaked after a 10-year upcycle supercharged by the pandemic boom, through the 2nd half of the year, when the market cooled significantly. Prompted by a number of economic factors - especially inflation, interest rates, and financial markets - this played out in substantial declines in sales volumes, median sales prices, appreciation rates, and virtually all the standard measurements of buyer demand. Some buyers were making the best deals in years.
- Market adjustment in the 2nd half of 2022 erased any gains it made in the last two years. Bay Area Median Home Price in December 2022 fell to the same level in January 2021.
- In December, San Mateo County and Santa Clara County Median Single Family Home Price was down 18% from the peak in Q2'2022.
- In December, Stanford Circle(*) Median Single Family Home Price was down 13% from the peak in Q2'2022.
* Stanford Circle includes Palo Alto, Los Altos, Los Altos Hills, Atherton, Menlo Park, Woodside, and Portola Valley.
MARKET OUTLOOK
The early spring market (January and February) would typically provide the next major indicator of market direction in 2023. For the time being, the market remains in a period of adjustment.
If you are considering selling in 2023, pricing, preparation and marketing are now critical. Inventory is still tight in our area, and there are serious buyers out there. As long as we prepare it well, price it right and market it to the right buyers, we still can sell your home within weeks.
If you are considering buying in 2023, don't hesitate to negotiate aggressively, especially on homes with longer days-on-market. We'll never time the market right. If you have a good opportunity and it makes sense for your family, just do it. Your property tax will be lower for years to come, and you might be able to lower your monthly mortgage by refinancing in the future.
Sellers, learn more about your selling potential this month with this home evaluation tool to get an instant report on your home, including a list of homes recently sold in your neighborhood.
SCHEDULE A CALL WITH SOPHIA
If you are considering buying or selling and would like to discuss the current market condition, schedule a call with Sophia
