Home Buying in Piedmont>Question Details

Barbara Brod…, Real Estate Pro in San Mateo, CA

Has the value of homes in Piedmont drop at all and is it a good time for us to buy in Piedmont? My market focus has been Silicon Valley and

Asked by Barbara Brodrick, San Mateo, CA Sat Nov 19, 2011

SF>>> My market focus the last 10 years has been in the San Francisco and Silicon Valley Peninsula area before I decided to leave resale and change paths to come on board to Trulia having a family now and need your opinion. I know that the City of Piedmont, homes, schools and neighborhood is highly desirable and pretty affluent and looking into buying in Piedmont especially now that we have a 15 month old baby boy and starting to plan his schooling and balancing staying in Rockridge and sending him to private school or buy in Piedmont and send him to Piedmont schools. Atherton neighborhood and home values have not been really affected and have maintained their value and sales a.re still really good and Piedmont's desirability is similar need your advise. Thank you

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obviously from the previous answers to this question you are now aware that prices have, indeed, declined in Piedmont, although not as much as in other parts of the S.F. Bay Area. If you are deciding between Rockridge + private school or Piedmont + public school, you may want to consider how many kids you are planning on having. If you plan on having a big family, it would probably be more cost effective to buy in Piedmont as you would be paying a, sort of, flat fee in school special assessments no matter how many kids you have (although you'd being paying for more bedrooms). With private school, you would have to pay for each kid's tuition individually, obviously. However, if you are planning on a small family, it might be more cost effective to buy in Rockridge and pay for one or two kids' private school tuitions. I personally grew up in Piedmont and attended Piedmont public schools. I had a great overall experience. It would be a good idea for you to find out what private schools you'd be looking at in Rockridge and what their tuition prices are. Then compare that with Piedmont's school parcel tax.
1 vote Thank Flag Link Sat Nov 19, 2011
A quick analysis of sold properties in Piedmont provides the following summary:

2006 Avg sold $/SF: $560.25, +1.1% over list price (prices rising)
2007 Avg sold $/SF: $567.69, +1.25% over list price (prices rising)
2008 Avg sold $/SF: $539.02, -3.3% below list price (prices falling)
2009 Avg sold $/SF: $481.18, -2.7% below list price (prices falling)
2010 Avg sold $/SF: $487.00, -0.4% below list price
2011 Avg sold $/SF: $473.70, +0.8% over list price

This looks like a 17% drop in average sales price since the peak in 2007. The prices may be falling still. The schools are superlative, as you know. There are a variety of homes in Piedmont, from older Tudors to ultra-modern. Many of the homes are mid-20th century or older. The lots are much smaller than in Atherton, where one acre+ lots are common.

I would be happy to provide you with the complete data set for the summary above. Please contact me for more information.
1 vote Thank Flag Link Sat Nov 19, 2011
In many parts of piedmont, prices are back to a 2004/2005 $/sq ft however some market segments are stronger than others. Locations which use to fetch a premium before no longer do and some areas, have continued to grow in price.
1 vote Thank Flag Link Sat Nov 19, 2011
Piedmont, like other cities, has seen its share of drop in market values --- but not as significant as other surrounding areas. The city continues to attract buyers. Properly and attractively priced properties still receive multiple offers. Both areas you mentioned, Piedmont and Upper Rockridge are in excellent school districts. I closed on a 4000 sq ft house sold as a short sale in Upper Rockridge to a couple with two young daughters who sold their San Francisco home. They are absolutely thrilled with their purchase. I also sold a Piedmont house to a family with three young daughters. Although they spent money to renovate some rooms (kitchen, family room) they are very happy to be in Piedmont.

Both Rockridge and Piedmont offer a variety of architectural styles that should suit people who do not like the look of modern and tract homes. Another reason to love these areas.

How may I help?
1 vote Thank Flag Link Sat Nov 19, 2011
I am so sorry I had forgot that I was writing on Trulia.So much depends on your life style and long term goals. Many people like me choose to vstay and live here because. It's a small community and. Safer .
Please e. Mail and I would be happy to speak with you .Current our inventory is very low. and you might very well. Prepared. Up to 300,000 over .This. Is. my neighborhood personally and professionally .
My. E mail Lorriefinkel@gmail.com .
0 votes Thank Flag Link Thu Mar 6, 2014
Kyle's answer is one approach if you're focus is the financial aspect of the choice (if your sense of the choice is to save tuition and go public in Piedmont vs. pay tuition and live elsewhere). I'd point out that on a NPV basis, it's better to live in Piedmont and attend public schools if you have just one child, for just three years in town--people typically forget that they'll be buying a more expensive home and then eventually selling that more expensive home--they forget the incremental income flow at the end of the timeline. Email me if you'd like a spreadsheet and summary factsheet on this issue (kennedy@maureenkennedy.net).

We too moved here to town when our three boys were 5, 3 and 1. They are now 21, 19 and 17, and my youngest is just now starting to hear back from colleges! The time goes so quickly, and being in a town that you're comfortable in is a real gift. Best, Maureen Kennedy
0 votes Thank Flag Link Fri Mar 1, 2013
Yes the value has dropped by obout 15 percent .Let me tell you what your missing if you not purchase now ?

The reason I can say this is that I am a full time working agent who lives in Piedmont .I grew up here and I raised my daughter here in Piedmont .My brother is here and we he moved up in space for the kids he bid in a high market ,overpaid for the house,was in a muliable bid situation.Interest rates were higher ,
Why purchase now ? Interest rates are the lowest in years, you will get more living space for the money ,homes are spread out more in certain area,and you do not have to compete with has many buyers .
The inventory was low for our slow season and is picking up everyday.
Piedmont is always making improvementts ,Past :underground wiring in almost all area of Piedmont.
Current: Sewer Laterral work.

For more Informstion : please contact me @LorrieFinkel@bhghome.com
0 votes Thank Flag Link Tue Mar 20, 2012
Good school districts in the East Bay, including Piedmont, have held much stronger than the overall market, but we did see a slide in values in 2011. More short sales and foreclosures hit the market last year, pushing prices down somewhat, and many potential sellers of higher end homes who did not HAVE to sell decided to sit tight. This meant that the housing stock we saw was largely in poorer condition, and buyers had more room to negotiate than in previous years. Well maintained homes that were propertly prepared and properly priced still saw some competitive bids. I find that many agents tend to aggregate data, and you really need to analyze based on what your personal criteria for a home is. If you tend to gravitate to the homes that everyone wants, and you have deeper pockets, expect to pay a premium to capture the house, and analyze this pricing relative to what your expenditure will be pay for private schools. If you can be more visionary, or are willing to take on a property that needs more work, you might find that it is a very good time to capture a value proposition - relatively speaking. Piedmont carries a premium, even when the market is down. A really good agent will be strategic and explain the scenario on individual houses.
Good luck!
0 votes Thank Flag Link Wed Jan 18, 2012
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