Month-over-Month Changes

In September 2023, the Palo Alto real estate market experienced several changes compared to August 2023:

  • Homes Sold: 26 homes were sold, marking a 16% decrease from 31 sales the previous month.
  • Median Sale Price: Decreased by 13% from $3,750,000 in August 2023 to $3,250,000 in September 2023.
  • Days on Market (DOM): Rose to 12 days from 9 days in August 2023.
  • Percentage of List Price Received: Sellers received 101% of their asking price, down from 103% in August 2023.

Analysis

The month-over-month data indicates a market adjustment. The decrease in homes sold and the rise in DOM suggest a slight slowdown in demand. Despite this, sellers are still receiving above their asking price, maintaining a strong market.

Year-over-Year Comparison

Comparing September 2023 to September 2022, the following changes were observed:

  • Homes Sold: Decreased by 30%, from 37 to 26.
  • Homes Listed: Decreased by 9%, from 47 to 43.
  • Median Sale Price: Remained stable at $3.25M.
  • Median Days on Market: Remained stable at 12 days.
  • Percentage of List Price Received: Decreased from 102% to 101%.
  • Months of Inventory: Decreased from 2.2 to 1.6.

Analysis

Year-over-year, the market has seen a significant decrease in the number of homes sold and a slight decrease in homes listed. Despite this, the median sale price and DOM remained stable, indicating a balanced market.

Price Points and Quadrants

The sales details for September 2023 were broken down by quadrants:

  • Top Quadrant: 7 homes sold, Median Sale Price: $4,200,000, Median DOM: 10, Avg. $/Sq.Ft.: $1,589.
  • Second Quadrant: 7 homes sold, Median Sale Price: $3,400,000, Median DOM: 12, Avg. $/Sq.Ft.: $1,747.
  • Third Quadrant: 6 homes sold, Median Sale Price: $3,010,000, Median DOM: 9, Avg. $/Sq.Ft.: $1,809.
  • Bottom Quadrant: 6 homes sold, Median Sale Price: $2,440,000, Median DOM: 14, Avg. $/Sq.Ft.: $1,852.

Analysis

All quadrants are active, but the top and second quadrants are seeing the most activity. This suggests that homes in the higher price ranges are moving more quickly, indicating a strong market for sellers in these price ranges.

Conclusion

The Palo Alto market in September 2023 showed a decrease in homes sold compared to both the previous month and the previous year. However, the median sale price remained stable year-over-year, and sellers are still receiving above their asking price. The quadrant data provides valuable insights for both buyers and sellers, showing that higher-priced homes are particularly competitive.

Data provided by MLSListings and is deemed reliable but not guaranteed.