The number of California homes that sold last year for a million dollars or more reached its highest level since 2007, according to a real estate information service report. Hillsborough, Menlo Park, Palo Alto and Woodside were included on the list of highest ranked areas for million-dollar homes sales.
San Diego-based DataQuick reports a total of 26,993 homes sold for $1 million-plus last year, up 26.9 percent from 21,267 in 2011 - the most sold since 42,502 million-plus homes sold in 2007. Million-dollar plus home sales reached an all-time high in 2005, when 54,773 homes sold.
A total of 697 homes sold for more than $5 million last year, well above 491 sold in 2011. A record 460 homes sold in the $4-$5 million range, well above 344 in 2011 (and 342 in 2005); 1,104 homes sold in the $3-$4 million range, slightly above 1,046 that sold in 2005; 3,266 sold in the $2-$3 million range, down from 4,070 sold in 2005; and 17,762 sold in the $1-$2 million range, compared with 34,145 sold in 2005.
"It has been a good market for buyers, especially cash buyers. Those with the financial resources see the value of real estate. With low record low interest rates, they can realize a return on their investment," said Carolyn Miller, president of the Silicon Valley Association of REALTORS®.
Last year, 7,791 of the million-dollar home buyers paid cash, a record number, and up from 5,802 in 2011. Cash was used more frequently the higher up the price scale. Of those who did finance their purchase last year, the median down payment was 25.9 percent of the purchase price.
In Silicon Valley, Hillsborough, Menlo Park, Saratoga, Los Altos, Cupertino, Los Gatos and Palo Alto and Woodside made the list of communities with the highest 2012 sales of million dollar homes. Hillsborough topped the list with 422 sales in 2012, up from 353 in 2011, with the most expensive home purchased for $6.8 million. Menlo Park came in third after Manhattan Beach, with 370 million-dollar plus homes purchased, up from 305 sold in 2011, with the most expensive home purchased for $7.6 million. Palo Alto had 218 million-dollar plus homes, up from 193 purchased in 2011, with the most expensive home purchased at $4.3 million.
According to DataQuick's records, the most expensive confirmed purchase last year was an 8,930-square-foot, 4-bedroom, 4 1/2-bathroom home in Woodside built in 2005 on just under nine acres, which sold for $117,500,000 in November.
There are 8.66 million houses and condos in California. Of those, 246,318, or 2.8 percent, are assessed for $1 million or more by county assessor offices.
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
For further information, please email or call the SILVAR office at (408) 200-0100.