San Mateo County Real Estate - February 2012

Sales Activity Continues to Climb

Since reaching a nadir in 2008, the number of homes sold in San Mateo County increased in each of the next three years. Through the first two months of 2012, sales are again ahead of the prior year pace. There have been 519 homes sold so far this year, versus 503 at the same point last year. The 519 figure is probably a bit understated as there are normally upward revisions for the past few months as all of the information is entered into the databases.

Impressively, while sales are continuing their ascent, the number of new listings onto the market has fallen sharply. There have been less than 1,000 homes listed in the first two months of 2012, compared to over 1,100 homes in the first two months of 2011. Keep in mind that listing activity in 2011 was already down seven percent from the prior year.

Inventory follows a seasonal pattern, with more homes on the market in summer and fewer in winter. Currently, inventory is well below the normal seasonal level and has fallen below 1,000 homes for the first time since January 2007. Last year at this time, there were 1,400 homes left on the market for sale at the end of the month.

Price Trend Reversal

Lower inventory is often a catalyst for rising prices as buyers have to compete for a smaller supply of homes. Although there are certain strong submarkets, to-date we have not seen across-the-board increases in selling values in San Mateo County. However, the data does suggest that the gradual decline in median selling values and average price per square feet from late 2010 to late 2011 has stopped. Our 12 month moving average price indicators suggest mostly flat price levels over the past three to six months.

Average selling values remain above $900,000. Median selling values are below $700,000. The fact that average selling values are so far above median selling values signals that there are a fair amount of ultra-expensive homes in San Mateo County.  With areas like Hillsborough, Burlingame and San Carlos, this should come as no surprise.

Thinking of buying or selling a home in San Mateo County?

If you're interested in learning more about the San Mateo County real estate market, considering selling your home in San Mateo County, or thinking about moving to San Mateo County, please drop me a line and I'd love to connect with you. Raziel is an expert in Burlingame real estate, San Mateo real estate, and Hillsborough real estate.

By The Numbers - San Mateo County Real Estate for 2012