Residential property values in Atherton declined for the first time in 3 years, not because of lack of demand but rather because of the increase in number of homes that sold for less than $5 million and the fewer number of very high-end sales as reported in the previous two years.
Demand was still very strong as evidenced by the fact that 39% of the sales were for more than list price. Plus, homes sold much more quickly in 2017, taking on average 47 days to sell. This is the lowest average days on market in current records since 2001. In 2016, the average was 73 days and in 2015 it was 52 days.
The average sale price of a home declined by $2,521,787, or 30%, to $5,754,405 as compared with the average in 2016, which was $8,276,192. The average sale price in Atherton in 2015 was $7,227,000 and in 2014 was $5,622,373. It is important to note that last year’s average price is still 74% higher than it was in the recession low in 2009 when it was $3,311,604.
The median sale price in 2017 also declined by 21% to $4,750,000, a drop of $1,252,500 as compared to 2016 when it was $6,002,500. The median sale price was $5,950,000 in 2015 and $4,420,000 in 2014. During the recession low in 2009, the median price was just $2,790,000, so last year’s median price is 70% higher.
In 2017, prices were the highest in the third quarter when the average price spiked to $6,270,060. In 2016, the average sale price quarterly record was $9,693,549.