COMMUNITIES | Menlo Park

Though Menlo Park has its share of luxury properties, its character remains essentially modest. Charming, custom homes on pretty lots line quiet streets. The downtown business district offers a picture of suburban life as shoppers stroll beneath the trees, stopping for a sidewalk coffee, or an ice cream cone. Originally growing up around the train station,

built in 1866 and a registered historic landmark, the City of Menlo Park was incorporated in 1927. The name was taken from the sign "Menlo Park, 1854" which was painted on the gate erected by two early settlers who emigrated from Menlough in Ireland. Today, the excellent school system and the strong sense of community have made Menlo Park a highly desirable place to work and live. Menlo Park is also headquarters for much of the venture capital money fueling the Silicon Valley economy.

2008 in Review | Menlo Park

The average sale price of residential property in Menlo Park rose by more than $100,000 to $1,553,064 in 2008, a record high. The 2008 figure represents a substantial increase over the past five years. In 2007, the average sale price fell slightly, down to $1,436,408 from $1,466,813 in 2006. In 2005, the average sale price climbed to $1,430,614, over $200,000 more than the overall average price of 2004, which was $1,205,303. To put these numbers in perspective, prior to 2000 the average price of a home in Menlo Park was well under $1,000,000. The average price of a home in Menlo Park for all of 2008 was $1,553,064

Over the past five years, the median sale price of a home in Menlo Park has increased accordingly. in 2008, the median was $1,392,500, another record high, and well above the median for 2007, which was $1,260,000. The 2007 figure was slightly lower than the figure for 2006, which was $1,270,000, but was still higher than 2005 median of $1,255,000. The median sale price for all of 2004 was $975,000. This continues a distinct upward trend over the past five years.

The average period of time it took to sell a Menlo Park home grew by nine days in 2008: 46 days on the market. By comparison, homes remained on the market an average of 37 days in 2007, 40 days in 2006, and 28 days in 2005. 2004 saw an average of 30 days on the market. Interestingly enough, Menlo Park properties have never exceeded a yearly average of seven weeks on the market. These numbers have fluctuated no more that 18 days over the past 10 years.

The number of properties closing escrow in Menlo Park declined by approximately 27 percent, with only 300 sold in 2008. This represents a sharp drop from the 409 transactions recorded in 2007, and is the lowest number in 10 years. By comparison, 377 properties closed escrow during 2006, down from 453 closed in 2005, and 504 closed in 2004. The previous record market low occurred in 2001, when properties sold totaled 368. A comparison of the fourth quarter of 2008 to the fourth quarter of 2007 shows that the number of last quarter sales has fallen by approximately 18 percent.