Archive for the 'Menlo Park Real Estate' Category
Menlo Park real estate market is cooling slightly!
After several really hot months, some balance is returning to the Menlo Park real estate market.
Below you will find a one year history on the median market action index for Menlo Park.
30 is considered a balanced market.
Above 30 is considered a sellers’ market.
From the middle of March thru the middle of May, the market action index peaked between 44 and 48 – indicating a strong sellers’ market.
Early in June, the market action index returned to about 30 – a balanced market.
This may be good news for buyers. The market is still competitive but not outrageously so.
REO market tightens for fix and flip investors
Over the past several years, a significant percentage of my business has been working with investors who buy, fix, and flip REO properties primarily in East Palo Alto and Menlo Park.
Over this time, this market has become much more competitive – “good deals” are much harder to find. Profit margins have sunk. Attractive investment opportunities can still be found but it takes a little longer.
Bigger Pockets reports on the increasing competition for REO investments on a national level.
Search for REO foreclosure properties
Please contact me if you want to learn more about REO opportunities on the SF Peninsula.
Menlo Park small income properties
Let’s take a look at a typical small residential income property in Menlo Park.
We're sorry, but we couldn't find MLS # 81210267 in our database. This property may be a new listing or possibly taken off the market. Please check back again.
This property consists of four 1 bedroom 1 bath units priced at $1,325,000.
Current rent for all four units is $4,650 per month or $55,800 per year. This property is priced at $1,325,000/$55,800 for a gross rent multiplier (GRM) of 23.75 – asking price is 23.75 times current annual rental income.
Market rents for all four units is estimated at $,6100 per month or $73,200 per year. This results in a GRM of 18.1 ($1,325,000/$73,200).
Property operating expenses – property taxes, insurance, utilities, gardener, management, and repairs, etc. (loan costs are not property operating expenses) are estimated to be $31,250 per year – (42.7% of gross scheduled rents). This is a pretty typical operating expense ratio – should generally be at least 35% to 40% of gross scheduled rental income.
Gross scheduled income ($73,200) less operating expenses ($31,250) less vacancy and credit loss ($3,000) results in a net operating income of approx. $38,950 per year.
This is what will be left over to pay debt service or loan payments.
Investor loans for residential rental properties are currently available to approx. 5%.
$38,950 per year or $3,245 per month will pay loan payments on a $605,000 loan which means a purchaser would need $700,000 cash down payment to reach a break-even point.
This property is located in a very nice area of Menlo Park near the Civic Center and Burgess Park – one can easily walk to either downtown Palo Alto or Menlo Park.
An investor would need to forecast an increase in rents and property values over the next 1o to 15 years for this investment to make sense.
Menlo Park real estate market update
The Menlo Park real estate market has become extremely active since the first of the year.
The median market action has moved from approx. 19 in Nov 2011 (strong buyer’s market) to approx 28 in March 2012 (balanced market).
Here is the median market action index broken into price ranges.
Interesting to note, it is the highest price range in Menlo Park where the greatest increase in market action index is.
The median price in the highest Menlo Park quartile is $2,180,000.
Homes in this price range of Menlo Park are generally located west of El Camino in the following neighborhoods:
Downtown/Allied Arts
Showing properties
1 - 4 of 4.
See more Allied Arts / Downtown Menlo Park listings *.
(all data current as of
5/22/2013)
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$1,625,000 : 1334 Johnson St, Menlo Park4 beds, 3 full baths
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$1,575,000 : 1336 Johnson St, Menlo Park4 beds, 3 full baths
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$1,495,000 : 925 Middle Av, Menlo Park3 beds, 3 full baths
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$1,800,000 : 612 College Av, Menlo Park3 beds, 2 full, 1 part baths
Listing information deemed reliable but not guaranteed. Read full disclaimer.
West Menlo
Showing properties
1 - 5 of 14.
See more Central Menlo listings *.
(all data current as of
5/22/2013)
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$2,450,000 : 1390 N Lemon Av, Menlo Park4 beds, 2 full, 2 part baths
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$4,298,000 : 1180 N Lemon Av, Menlo Park7 beds, 5 full, 1 part baths
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$2,349,000 : 1305 Elder Av, Menlo Park3 beds, 3 full baths
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$2,895,000 : 725 Hobart St, Menlo Park4 beds, 3 full, 1 part baths
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$2,390,000 : 1255 Santa Cruz Av, Menlo Park4 beds, 3 full, 1 part baths
Listing information deemed reliable but not guaranteed. Read full disclaimer.
University Heights – County area along Alameda
Showing properties
1 - 5 of 8.
See more County / Alameda *.
(all data current as of
5/22/2013)
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$1,595,000 : 2070 Cedar Av, Menlo Park3 beds, 2 full baths
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$1,625,000 : 2160 Manzanita Av, Menlo Park3 beds, 2 full baths
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$2,700,000 : 2050 Gordon Av, Menlo Park4 beds, 3 full, 1 part baths
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$2,299,000 : 431 Vine St, Menlo Park3 beds, 2 full baths
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$3,945,000 : 19 Montana Ln, Menlo Park5 beds, 5 full, 1 part baths
Listing information deemed reliable but not guaranteed. Read full disclaimer.
Inventory is tight, multiple offers common in Menlo Park
My office put a listing on in the Suburban Park neighborhood of Menlo Park on February 6th.
14 Greenwood Place was listed at $1,249,000.
It is an 1890sf nicely updated home with 4 bedrooms and 2 baths.
8 offers were submitted on Valentine’s Day and there was one very happy buyer at the end of the day!
Property sold significantly over list price.
To search for historical sales data or current listings (there will not be many! :-) ) in Flood Park and Surburban Park, click here.
Single family home inventory extremely low Palo Alto Menlo Park Redwood City San Carlos
The local real estate market often “kicks off” after Super Bowl Sunday.
As of today, the inventory of available homes on the San Francisco Peninsula is extremely low.
Inventory generally drops towards the end of any year and then increases until a peak is reached late spring or early summer.
Inventory in all four mid-peninsula communities is lower than it has been in the past three years.
At the current time, there are plenty of buyers looking for homes. The limiting factor on sales is the number of homes for sale.
If local inventory is going to increase in 2012, we should start to see the increase in the next month or so.
If inventory does not start to increase, home buyers from Palo Alto to San Carlos could be in for a long and competitive home search.
New listings in the Flood Park area of Menlo Park
The Flood Park neighborhood of Menlo Park runs between Bay Road and HWY 101, north of Willow Road and South of Marsh Road. Property values in this neighborhood are similar to those in the Willows.
Showing properties
1 - 5 of 5.
See more Flood Park Area *.
(all data current as of
5/22/2013)
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$899,000 : 907 Timothy Ln, Menlo Park2 beds, 1 full bath
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$875,000 : 1056 Ringwood Av, Menlo Park3 beds, 1 full bath
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$959,000 : 9 Heritage Pl, Menlo Park3 beds, 3 full baths
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$899,000 : 32 Iris Ln, Menlo Park3 beds, 2 full baths
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$1,185,000 : 1068 Sonoma Av, Menlo Park3 beds, 2 full baths
Listing information deemed reliable but not guaranteed. Read full disclaimer.
For closed sales data in the Flood Park area of Menlo Park, click here.
New listings in the Willows area of Menlo Park
The Willows neighborhood offers some of the most affordable housing in Menlo Park.
Older small homes in the Willows start in the $700,000 to $800,000 range and newer larger and updated homes are available $1,200,000 to $1,500,000
Showing properties
1 - 5 of 6.
See more Willows / O'Conner Area *.
(all data current as of
5/22/2013)
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$949,000 : 2045 Menalto Av, Menlo Park3 beds, 1 full bath
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$1,125,000 : 407 Chester St, Menlo Park3 beds, 2 full baths
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$999,900 : 443 Oconnor St, Menlo Park5 beds, 3 full baths
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$1,395,000 : 316 Lexington Dr, Menlo Park4 beds, 2 full baths
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$899,000 : 192 Oak Ct, Menlo Park2 beds, 1 full bath
Listing information deemed reliable but not guaranteed. Read full disclaimer.
For closed sales data in the Willows neighborhood in Menlo Park, click here.
Deadline for San Mateo County Property Tax reductions is Feb. 15
If you believe your home’s value is below the assessment provided by San Mateo County, you may petition the County to reduce your assessment and thereby reduce your property taxes.
If you have purchased a home within the past 3 or 4 years, its value may very well be below your purchase price.
If this is the case, please go to: http://smcare.org/assessor/homeownerresources/form_declineapp.asp
I need to be clear – just because your home’s value has dropped, you are not automatically entitled to a property tax reduction. So if you bought your home 10 years ago for $800,000 and at the peak it was worth $1,100,000 and now is worth $950,000, you WILL NOT be entitled to a reduction.
One is only entitled to a property tax reduction if the San Mateo County assessment is above what you believe the current market value is.
The request can be made over the web and if you need any comparable sales to bolster your case, just let me know.
Menlo Park Neighborhood Real Estate Review 2010 part 3
I have reviewed previously reviewed the 2010 real estate market for the following neighborhoods in Menlo Park:
Allied Arts/Downtown Menlo Park
West Menlo
West “County” area along Alameda also known as University Heights
Sharon Heights and Stanford Hills
In this post, I will review the Civic Center area of Menlo Park located near Burgess Park and City Hall and the Willows neighborhood of Menlo Park.
Civic Center area Menlo Park near City Hall and Burgess Park
The average and median price in the Civic Center area of Menlo Park was approximately $1.3M in 2010.
Average days on market in this neighborhood of Menlo Park decreased slightly from 54 in 2009 to 51 in 2010.
The number of homes sold near the Menlo Park Civic Center decreased in 2010 to 20 from 19.
The sale price to list price ratio remain fairly stable: 96.6% in 2010 and 96.8% in 2009.
To search for homes near the Civic Center and Burgess Park in Menlo Park, click here.
The Willows neighborhood of Menlo Park
The average and median price in the Willows Menlo Park was approximately $1.05M.
Average days on market dropped big time from 71 in 2009 to 20 in 2010.
The numbers of homes sold in the Willows Menlo Park was steady: 37 in 2010 and 38 in 2009.
The sale price to list price ratio was 101.5% in 2010 up from 96.8% in 2009.
To search for homes in the Willows, just click here.
Copyright © 2010 Arn Cenedella Log in Design by Real Estate Tomato Powered by Tomato Blogs
The data relating to real estate for sale on this website comes in part from the Internet Data Exchange program of the MLSListings™ MLS system. All real estate listings in the MLSListings MLS system are marked with the MLSListings Internet Data Exchange icon (a stylized house inside a circle), and detailed information about them includes the names of the listing brokers and listing agents.
Listing information is deemed reliable, but not guaranteed. Listings last updated 5/22/13 7:42 AM PDT.
Copyright 2013 MLSListings Inc. All rights reserved.
This IDX solution is (c) Diverse Solutions 2013.