Be sure to check craigslist.org SF Bay area.
Don't forget Menlo Park is also next door to Stanford. In Palo Alto don't be surprised if a 3 bed/2bath home asks for over $4500/month and is fifty+ years old.
With low interest rates buying a home can be a better choice. Not only is the payment less but the equity builds up faster. A $500k loan at 3% interest will build up $55k equity in five years.
The median price of a home is over $2M in Palo Alto.
Part of the increase is due to larger homes being sold.
Top 2 agent nationwide at Keller Williams Realty
Over 30 years experience
Over 1,000 homes sold in Santa Clara and San Mateo Counties