As Marcy said, Mountain View is hot right now. And the Waverly Park area of Mtn View has always been among the most desirable of locations. Plus there are lots of folks out there that want new or newer homes and in this area, those are hard to find in such a good location with such good schools.
These homes also show well. (I like the front porch "room" found in one model) I expect the builder will have no trouble selling the last of these units.
On a nostalgic note, even though these new homes are nice, I still miss the pumpkin patch. (For those that don't know, The Enclave used to be a small farm. In October they had a pumpkin patch and in December a Christmas Tree lot. Picking out a pumpkin was an annual event for many of the children in Mtn View and Los Altos, including my own.).
The other answers are right.
Builders are not in the business of building tracts and waiting for a buyer to come along who is so in love with a home they will over pay. Summerhill does extensive research to determine market value for their homes and also builds very high quality beautifully finished homes that sell quickly, especially in this market.
To me the bigger issue is Mountain View. Mountain View is The place to be right now. It is not a second class citizen, or as someone just described it to me, a "step neighborhood" to Los Altos or Palo Alto. With Google and Apple fighting for space in Mountain View there is a lot of money in that town and many more people trying to get in than there are homes for them.
In addition Waverley Park has always been the most expensive neighborhood in Mountain View. It's proximity to El Camino Hospital attracts a lot of doctors, and the homes in the neighborhood are large and gracious.
Add to that is the fact that the schools, Huff in particular has about as high an API as you can get.
And lastly these homes are large. For 2.5 mil in an older part of Waverley Park you can get a large house but it will be old. these homes are brand new with great finishes.
All together I would say yes, they are reasonably priced.
Keller williams Realty
When you consider that a tear-down 2 bedroom, 1 bath homes of 800 square feet on 5600 sf lot in Palo Alto (on the Mountain View border) sold for $1.6M, a new, perfect 2500 sf home full of every amenity a buyer wants at $2.5M is not only reasonable, I am pretty sure every home in the community will sell out fast.
Remember while you may not spend this type of money for a home, there are more than enough buyers who will and that creates a new market price. For those buyers who sit on the sidelines waiting for prices to come down or deals to get better, it might be a very long wait, indeed.
Helping my clients properly understand pricing and where the home sales price will likely land is one of the hardest parts of my job. It is not hard to estimate the price, but to make my client understand why prices are escalating and the amount of the increase--that's the challenge!
So for now, Doug, let me assure you that your incredulity is completely understandable, but these prices are completely supported by recent sales in the area. The good news for my clients is that, although prices are rising, their commission rebates are higher too, and a check at the end of the deal that's $25000-40000 can be incredibly soothing. : )
Allison James Estates and Homes
Rebates up to 1.5% of the sales price and low cost listings to sellers
- 101 MANSFIELD Dr
- 2742 SAINT GILES Ln
- 2746 SAINT GILES Ln
If you can find something you like and can get an offer accepted between now and the end of the year you will most likely be better off than if you waited until 2014.
So try to cheer up, expand your horizons of where and what you are looking for, and you should be fine. Now that you know the market better you are in a better place to make this big decision.
Keller Williams Realty
I did a little more research and found that the homes were priced well below $2M when the first set of homes were released. So to see the "market value" increase by so much in such a short amount time is quite depressing to an active home buyer :(
Mountain View real estate statistics: http://julianalee.com/mountain-view/mountain-view-statistics.htm
Keep in mind that Google and other companies are hiring. The median price of a home in Los Altos or Palo Alto is over $2M. Mountain View home prices were one of the first to rise after the downturn.
How much is the premium for a better Mountain View neighborhood? Take a look at http://julianalee.com/mountain-view/miramonte-statistics.htm
Top 2 agent nationwide at Keller Williams Realty
Over 20 years experience
Over 1,000 homes sold in Santa Clara and San Mateo Counties
If they weren't priced right, they wouldn't sell.
In the current market, the issue is not whether or not a home is reasonably priced: itâ€™s whether or not you want a home in that development and can do whatever is necessary to purchase one. As Grace stated, the homes will sell because there are plenty of willing and able buyers out there. Once they are gone, those sales will be the new bar, and until the current housing market cools off, future comparable developments will only be priced higher.