When it comes to real estate in Atherton, the phrases ‘buyer’s market’ and ‘seller’s market’ can be misleading. In reality, most houses in Atherton sell below the asking price, reflecting the expectation of negotiation between buyers and sellers rather than a genuine buyer’s market. While Atherton follows the trends of Silicon Valley real estate, there are significant differences. Since 2012, the average selling price in Silicon Valley has pretty consistently exceeded the average list price, whereas Atherton’s average selling price has remained below the list price.
Comparing the graphs of Atherton real estate and Silicon Valley real estate, we can see notable increases in the ratio of average sales price to average list price in 2000, 2018, and 2022. The dot com boom had a stronger impact on Atherton’s real estate market than the rest of Silicon Valley. In 2018 and 2022, the desire to beat anticipated interest rate increases drove up prices for both regions, though Silicon Valley was already at a higher average.
The graph showing Atherton house sales price per sq. ft. shows a significant surge in 2000 followed by a decline in 2001, indicating a clear seller’s market. However, 2018 did not witness noticeable price changes, and a slight upward spike in late 2021 preceded the strongest sales price to list price ratio seen in early 2022.