Millbrae, CA

There are six open houses scheduled in Millbrae on Sunday January 10, 2010, at the time of this writing. Here is a list of these open houses for you:

• 458 Hazel Avenue, $1,595,000, open house from 1 to 4
• 1040 Ridgewood Drive, $1,250,000, 1 to 4
• 1120 Oakwood Drive, $1,099,000, 1 to 4
• 803 Banbury Lane, $965,000, 2 to 4
• 970 Evergreen Way, $899,900, 1 to 4
• 427 Anita Drive, $799,900, 2:30 to 4

Millbrae is one of the coveted cities within our market, with great schools, a lively downtown and easy access to both US 101 and 280. Sitting near SFO, at the hub of BART and featuring great weather, what's not to like? How about the median price for a single family home? Hum, yes, that could be an issue in today's market, especially when it's been going up and not down like so many hope for. Altos Research's report for last week's real estate market shows the median priced home was $1,122,500 for a 58 year old 3 bedroom 2 bath home sitting on the usual 6000 sqare foot lot. This isn't a huge house, since it's likely to be around 1600 square feet.

The median price is trending upward and has been for several weeks. Now, what's median today will change next week since it depends on what's on the market for that week, but with an average list price of $1,191,493 it's not likely we will see much of a shift in the summer selling season.

Looking at the Market Action Index, with the red line the delineator between a Buyer's Market and a Seller's Market, Millbrae sits at 20, a Cool Buyer's Market with trends upward. As you can see, bottom was earlier this year and hopefully we are past it for good.

So what does all of this mean to you? If you live in Millbrae it's good news since your property may not have lost value. If you're a buyer, you missed the bottom on the market. If you're a bargain hunter, and want to buy a home later this year, wait until November or December or January when there are fewer people competing to buy and prices are traditionally low. In other words, you missed the bottom of the market. Money for lending is still pretty cheap historically, and if you can qualify for a loan, move on it now and buy now. Prices aren't going down around here and money will possibly cost more in the future.

Want the full report on Millbrae or any of the 6 other cities we follow? Just ask me.

Last week Millbrae had 50 houses for sale. They were on the market for an average of 68 days, and the number of homes coming to the market appears to be moving upward. Prices are trending downward, yet most homes inMillbrae are selling for over a Million dollars today. A far cry from how this city of about 20,000 use to be, where modest homes housed families of modest means. Not today. The median price last week was $1,087,500. Millbrae is considered a flat Cold! Buyer's market.

The residential housing market is a great example of supply side economics with the supply and demand, and market conditions determining price. Altos Research calculates the Market Action Index by measuring available supply relative to the current level of demand. Index value above 30 indicates conditions favor the seller. Sitting at 18,Millbrae is very much favoring the Buyer. Yet the seller hasn't figured that out as they're still pricing homes high. Altos Research also feels that the current pricing conditions are relatively fragile. If the market cools off further, watch for prices coming down.

Price and Value can be measured by looking at the Price per Square Foot. Despite the fact that home prices are rising fairly consistently, the price per square foot of homes listed in Millbrae is declining. This can often be attributed to new and remodeled homes on the market. Buyers in the area are paying more but also getting more for their money.

Another reason Millbrae is staying up in price has to do with the schools. Mills High School has become a magnet for buyers from San Francisco. Mills is part of the San Mateo Union High School District and consistently has high test scores.

Millbrae's homes are about 59 years old, mostly built post WWII. They're mostly 3 bedrooms and 2 bathrooms and about 1600 square feet in size. The average lot is 5000 feet. They're pretty much like the other Peninsula cities I write about. If you'd like more information about Millbrae's real estate market, let me know. I can get you a copy of the full report we subscribe to from Altos Research.