Here is the point: A home, including a condominium, is worth what you are willing to pay for it. What you may pay and what another person may pay are probably two different prices. Buying a home is not about the market, its about you. How long you will own the unit and how much you'll enjoy living there are much more important factors than guessing where is the market going. Fact is no one knows where the market is going and I say that after representing buyers and sellers in Belmont and San Mateo County.
To learn more about pricing and value, you may wish to check out: http://LivingWellinSanMateo.com/?$=what+your+home+is+worth .
So, if you feel this unit is where you'd like to live, plan on owning it for at least 5 years plus, and can comfortably and confidently afford the payments, buy it. Otherwise, pass.
We observe a quite steep increase of prices in Belmont. During the last 12 - 15 months prices in Belmont increased approximately 15%. It is the second steepest increase on the Peninsula after San Carlos. As prices in both places were lagging before behind, San Mateo or Burlingame, it is a typical market adjustment. Prices increase in locations that were considered more affordable before. Is it going to stay this way? Most likely it will, as the Peninsula is a unique location. It does not mean that we are not going to see price adjustments in both directions (up and down). Of course, if the loan availability continues to be limited, we might see more adjustments.