Homes in Los Altos Continue to Move Fast

In June, for the fourth month in a row, home buyers in Los Altos have purchased their new homes in less than 20 days. Going back farther, the average days on the market (DOM) for single-family homes here has been in the two- to three-week range in eight of the last 12 months.

The DOM monthly averages for March-June 2015 are: March 13, April 11, May 12, June 17, for a four-month average of 13.3 No month since January 2014 has seen home sales take longer than 26 days.

For the 12 months ending in June 2015, the DOM average was 17.2. For the year period of July 2013 to June 2014, the average was 22.3. This represents a 30% increase in the speed of home sales in the most recent 12 months.

Consistent inventory levels

One might believe that this speed of sales is because of an environment of shrinking inventory in which buyers will jump on everything that resembles a listing. But this isn’t the case. Inventory levels in June in Los Altos are close to as high as they’ve been in two years, and a year-to-year comparison shows little change. Here are some inventory numbers:

• 67: number of homes available in June 2015
• 76: listings in July 2013, the most of any month since that time
• 25: listings in December 2014, the fewest of any month in two years
• 168: percent increase in listings from December 2014 to June 2015
• 47: average monthly listings between July 2014 and June 2015
• 49: average monthly listings between July 2013 and June 2014

These numbers tell us that single-family home inventories currently are on the rise and have been consistent over the last two years. And it’s clear that, regardless of fluctuation of inventory levels, home buyers are pouncing on the properties they want to purchase, getting them under contract in amazingly short expanses of time.

Number of homes sold

In June 2015, 32 homes were closed. That’s a little lower than in the two previous years: June 2014, 35 closings; June 2013, 39 closings, which was the two-year high. The fewest monthly sales in the last two years was eight in January 2014.

Taking the entire years into consideration, home sales have been fairly consistent:

• July 2013-June 2014: 310 sales
• July 2014-June 2015: 291 sales

Currently on the market

Los Altos listings currently include 20 single-family homes. Prices range from $1,799,000 for a 2,600-square-foot home with three bedrooms and two and a half baths to $5,395,000 for a home with 4,060 square feet that includes four bedrooms and three baths.

Hadar Guibara
Silicon Valley Real Estate