Palo Alto Market: Multiple Offers

For anyone following the Palo Alto Market, especially in South Palo Alto, things are pretty crazy.  Homes are once again getting multiple offers and there are many more people trying to buy right now, than there are homes to buy.  For some buyers this can be very discouraging if not downright maddening.  Many do not understand why their wonderful offer at or above asking is not getting accepted. What does it take to "win" in one of these multiple offer situations? How much risk are you willing to take to buy a Palo Alto home?

These are not easy questions to answer.  So as usual, I want to look at facts first.  

Summary Of Comparable Properties Single Family Residential   Address City Beds Bath DOM LOE SqFt $/SqFt Lot(SqFt) List Price Age Sale Price   SOLD  510 Jefferson Dr   Palo Alto   4   3|0  10   26   2,818   $691.98   11,400   $1,895,000   62   $1,950,000    675 Kellogg Av   Palo Alto   4   3|0  1   22   3,303   $590.37   5,600   $1,950,000   21   $1,950,000    820 Arroyo Ct   Palo Alto   5   3|1  5   27   3,095   $621.97   9,193   $1,899,999   12   $1,925,000    639 Homer Av   Palo Alto   3   3|0  1   32   1,925   $1,000   3,333   $1,925,000     $1,925,000    754 San Carlos Ct   Palo Alto   4   3|1  9   28   2,986   $644.68   9,200   $1,645,000   8   $1,925,000    593 Chimalus Dr   Palo Alto   4   3|1  5   36   2,405   $790.02   6,135   $1,850,000   3   $1,900,000    5 Phillips Rd   Palo Alto   3   2|1  6   30   2,220   $810.81   11,550   $1,695,000   63   $1,800,000    870 Garland Dr   Palo Alto   3   2|0  7   34   1,938   $890.09   6,962   $1,699,000   55   $1,725,000    3650 La Calle Ct   Palo Alto   3   2|0  7   29   1,659   $994.58   13,395   $1,495,000   70   $1,650,000    2207 Greer Rd   Palo Alto   5   3|0  7   14   2,304   $694.44   7,902   $1,249,000   54   $1,600,000    595 Homer Av   Palo Alto   3   2|1    8   1,500   $1,066.67     $1,575,000     $1,600,000    225 Wilton Av   Palo Alto   4   3|1  7   27   2,304   $690.1   5,970   $1,590,000     $1,590,000    975 Stanley Wy   Palo Alto   3   2|0  1   18   1,394   $1,111.91   9,364   $1,298,000   61   $1,550,000    959 Mears Ct   Palo Alto   4   2|0  7   27   2,447   $628.52   12,100   $1,538,000   42   $1,538,000    797 Cereza Dr   Palo Alto   3   3|0  8   34   2,022   $751.73   8,250   $1,500,000   61   $1,520,000    2036 Emerson St   Palo Alto   2   2|0  7   8   1,502   $1,006.16   5,000   $1,445,000   52   $1,511,250    889 La Para Av   Palo Alto   3   1|0  8   33   1,169   $1,267.75   9,738   $1,349,000   70   $1,482,000    828 Esplanada Wy   Palo Alto   3   2|0  8   41   1,765   $793.2   11,186   $1,470,000   53   $1,400,000    4012 Scripps Av   Palo Alto   5   2|0  6   35   2,078   $673.72   7,650   $1,395,000   56   $1,400,000    620 Saint Claire Dr   Palo Alto   3   2|0  10   31   1,365   $975.09   6,100   $1,295,000   58   $1,331,000    233 Creekside Dr   Palo Alto   3   2|0  7   27   1,674   $776.58   7,260   $1,299,000   57   $1,300,000    3193 Bryant St   Palo Alto   3   2|0  10   33   1,408   $919.74   6,750   $1,300,000   62   $1,295,000    3624 Bryant St   Palo Alto   3   2|0  7   35   1,318   $963.58   6,111   $1,175,000   59   $1,270,000    724 San Carlos Ct   Palo Alto   3   2|0  11   29   1,714   $740.96   9,450   $929,000   65   $1,270,000    3256 Clifton Ct   Palo Alto   3   2|0  8   15   1,122   $1,114.08   8,400   $998,000   59   $1,250,000    2046 Edgewood Dr   Palo Alto   3   2|0      1,589   $774.07   8,911   $1,199,000   55   $1,230,000    982 Lawrence Ln   Palo Alto   4   2|0  9   31   1,603   $767.31   6,420   $1,088,000   60   $1,230,000    670 Marion Av   Palo Alto   2   1|1  7   15   1,291   $952.75   7,475   $980,000   65   $1,230,000    3249 Morris Dr   Palo Alto   4   2|0  10   32   1,660   $739.76   6,400   $1,168,000   59   $1,228,000    836 Kipling St   Palo Alto   3   2|0  7   21   1,274   $961.54   2,800   $1,248,000   95   $1,225,000    14 Roosevelt Ci   Palo Alto   3   2|0  7   28   1,410   $852.48   6,080   $1,088,000   60   $1,202,000    886 Moreno Av   Palo Alto   2   2|0  9   14   1,480   $810.81   7,800   $988,000   65   $1,200,000    3837 Carlson Ct   Palo Alto   3   2|0  8   40   1,560   $737.18   7,000   $1,098,000   58   $1,150,000    931 Clara Dr   Palo Alto   3   1|1    3   1,302   $883.26   9,970   $1,150,000   58   $1,150,000    711 Kingsley Av   Palo Alto   3   2|0  8   29   1,215   $925.93   3,900   $1,125,000   91   $1,125,000    743 Moreno Av   Palo Alto   2   1|0  6   30   988   $1,062.75   6,600   $895,000   64   $1,050,000    1125 Oregon Av   Palo Alto   3   1|0  2   33   1,093   $743.82   6,000   $775,000   61   $813,000    741 Ellsworth Pl   Palo Alto   2   1|0  7   21   880   $875   4,596   $749,000   62   $770,000    111 Washington Av   Palo Alto   2   1|0  8   15   1,113   $664.87   5,625   $749,000   79   $740,000    575 Oxford Av   Palo Alto   1   1|0  10   6   600   $1,050   3,969   $599,950   57   $630,000     AVERAGE VALUES     7   26   1,712   $850.26   7,476   $1,308,974   57   $1,390,756       AVERAGE VALUES FOR ALL     7   26   1,712   $850.26   7,476   $1,308,974   57   $1,390,756

Quick Statistics ( 40 Listings Total)   Min Max Median List Price $599,950 $1,950,000 $1,296,500 Sale Price $630,000 $1,950,000 $1,315,500

So as you can see for homes on the market less than 12 days the average sale price was about ninety thousand dollars more than the average list price.   So, if you are in a multiple offer situation you may have to offer more than the asking price if you are going to get the house.

I am not saying that to do so is a great idea in all cases. but if you want to buy in Palo Alto right now in some cases that is the reality.

Next time I will go into some of the other considerations in a multiple offer situation.

Please feel free to contact me if you have any questions.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E  01191194

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales