Appraiser Roger Miller was at our Alain Pinel Realtors sales meeting this morning to review the past year’s real estate market and prospects for the future.  Here are some highlights:

• Median SFD home price in the 4th quarter of 2008 for Saratoga ($1.6 million) is identical to the second quarter 2000 (pre bubble); Los Gatos’ median is $1.2 million (higher than 2nd Q2000 of $1.095M); Monte Sereno is about the same ($1.85M).
• Saratoga homes had a low absorption rate 4th quarter 2008, which suggest potential sluggishness in the $1-2 million range, due perhaps to some middle managers unsure about their jobs and tighter financing for loans above $625,500.
• Roger is predicting that we may have “a 2-4 month window of good home sales activity in the Saratoga/Monte Sereno/Los Gatos market area early in 2009 because of “honeymoon optimism” with President Obama being inaugurated today.”
• The past market discount for a split bedroom floorplan vs. a traditional bedroom wing has dimished, as has the past deduct for 3 bedrooms vs. 4 bedrooms.  This may be due to older demographics as well has changing preferances.