Despite the second year of the pandemic, the Portola Valley real estate market reached record highs in 2021. There were 110 homes sold, the highest number on records dating back to 2005, and 20% more than in 2020. Demand was incredibly strong as some sellers moved up to get more indoor and/or outdoor space and some left the area all together. And there were plenty of buyers looking for the lifestyle Portola Valley offers – that most of us have already known about for years.
The median price of a home reached a record high, although only by $5,000. At $3,505,000, half of the homes sold above this price and half sold for less than this price. The average price remained over $4 million after crossing that threshold for the first time in 2020. However, it was down 3% compared to 2020. There were 14 sales for more than $6 million, including one at $14.6 million and one at $16 million; only 3 sales were for less than $2 million. The majority of the homes, 33%, sold between $3 million and $4 million.
As always, Central Portola Valley had the greatest number of sales, at 39, followed by Ladera with 27 sales (compared to 15 the year before). Los Trancos had 15 sales, Portola Valley Ranch had 14 sales (double from the previous year), Brookside/Willowbrook had 11 sales (they only had 1 sale in 2020), and Santa Maria/Russell had 4 sales. The only area to show a slight decline in average price was Portola Valley Ranch; all others reached record high prices.
Of the 110 homes sold, 54, or 49%, sold for more than list price. On average, homes sold for 102.6% of list price compared to 97% in the previous year. Homes sold quickly at a median days of 13, the same as in 2020.
As this report goes to print, there are only 4 homes currently for sale and only one has been on the market for less than 2 weeks. There are no homes in contract. The last sale was on December 26 for a property listed at $17.5 million that closed escrow on December 31 for $16 million.
Our outlook for 2022 remains bullish on real estate in Portola Valley. Based on the strength of the stock market, the continuing historic low interest rates, and the ongoing need to redefine a personal living environment spurred by the pandemic, we believe demand will remain high.
Once again in 2021, we represented more buyers and sellers in Portola Valley than any other agent; in fact, we represented more than double the amount of sellers in Portola Valley than any other agent. And for all of our buyers, we won in a multiple offer situation, negotiated less than list price, or secured the property off market. If you are thinking of buying or selling in 2022, it would be our pleasure to represent you. If you have any questions about Portola Valley real estate, or the surrounding Peninsula communities, please reach out by phone or email.