Several trends are happening in the real estate market in Portola Valley, one of the most noticeable being the speed at which homes sell in the month of April.For perspective, here are the average days on the market (DOM) per month for single-family homes in two 12-month periods:
• May 2014-April 2015: 46.9 • May 2013-April 2014: 43.3
That makes a monthly average of 45.1 across two years. Now look at the DOM for the last three Aprils:
• April 2015: 17 • April 2014: 16 • April 2013: 15
The only month with faster sales was September 2013, when homes averaged 12 days on the market. It was up to 40 in September a year later. Months with the most days on the market since spring 2013 include August 2014 (126), December 2013 (94), February 2014 (91) and November 2014 (86).
Sales numbers jump in April
Another April trend – at least for the last two Aprils – is the number of properties sold. Fourteen homes in Portola Valley sold in April 2015, up from just three in March. In the five months prior to April, a total of just 17 homes were sold.
Going back to April 2014, we see 13 closings on single-family homes. That’s the second-highest number of properties sold in any month in more than two years, save for June and August of 2013, in which there were also 13 sales.
Decrease in inventory
A final trend we’re observing is the gradual decrease in the number of homes available. Here are the monthly averages for two recent 12-month periods:
• May 2014-April 2015: 18.9 • May 2013-April 2014: 28.4
Unlike in most Silicon Valley communities, the sold median price of homes in Portola Valley has actually dropped a little over the last two years, from $2,900,000 in April 2013 to $2,612,000 in April 2015, a decrease of 11.0%.
There have been month-to-month price fluctuations across two years, but most have been marginal. One “dramatic” fluctuation happened in January 2015, when the median price for sold homes jumped to $5,017,500 from $2,318,000 the previous month. Another was in July 2013, when the price dropped to $1,970,000 from an even $3 million the month before.
Initial listing prices here also have seen only minor fluctuations. In April 2015, the median list price for homes was $3,246,500. In April two years earlier it was $3,375,000. The highest list price between these two Aprils was $4,272,500 in January 2014. The lowest was $2,297,500 in October 2014.
In summary, the market in Portola Valley has seen little change in list and sold prices in the last two years. The trends in average days on the market and number of sales, however, will be interesting to watch, especially as next April rolls around.