Palo Alto, CA — Momentum Score, Home Values & Best-For

All states·California·Palo Alto

Santa Clara County · San Jose-Sunnyvale-Santa Clara · population 67,658

Palo Alto, CA
Image: Wikipedia · Palo Alto, California
OverviewCost of livingMoving guide
View watchlist →
62
Rising
Momentum score · 0–100

Where Palo Alto stands

At or near all-time high. rents up 7.1% in the last year.

Median home $3,683,761
1-year +1.9%
5-yr CAGR +3.9%
vs 5-yr peak -1.8%
Population -0.3%/yr

Home value trajectory · last 10 years

Zillow ZHVI · monthly
peak 2026-01$3684k$2151k$2735k$3319k$3903k201620182020202220242026

Lifestyle scores

🚶
Walkability
40/100
Car-dependent
Estimated from population density. Higher = denser, more amenities within walking distance.
🚉
Public transit
22/100
Transit limited
Curated list of major US transit systems + population-based estimate. Higher = real subway/rail/bus options.
💻
Remote work fit
52/100
Workable for remote workers
Composite of city size, housing cost, state tax structure, and region's remote-work track record.

Scores are heuristic estimates from population density, state, and known transit/walkable cities. Not based on a paid Walk Score / Transit Score API — see methodology for the formula.

Rent trajectory · last 5 years

Zillow ZORI · monthly
$4,170/mo$3,113$3,766$4,420202220242026

Home value vs rent · indexed to 100

Both rebased at first month of ZORI data (~2015)
Home valueRent121126100120202220242026

Rent vs buy

Price-to-rent ratio: 73.6
Rent

At a 73.6 price-to-rent ratio, renting beats buying in Palo Alto for most shorter holds. The premium you pay to own would take many years of rent savings to recoup, and that's before maintenance, taxes, and opportunity cost on the down payment.

How the momentum score breaks down

methodology →
Home YoY
60 · w22%
Home 5-yr CAGR
58 · w22%
Distance from peak
79 · w18%
Population growth
40 · w16%
Rent YoY
85 · w12%
Home 10-yr CAGR
49 · w10%
Long thesis

Palo Alto has held up across the cycle: home values at $3,683,761 with +3.9% 5-year CAGR. The bull case is structural — population, location, employer base — and holds even if next year's print is soft.

Short thesis

Palo Alto carries a $3,683,761 median home with only +1.9% YoY. Premium pricing in a flat tape is the bear setup — you're paying for the trend that already ran while new buyers can't afford to extend it.

About Palo Alto

Palo Alto is a city in Santa Clara County, California, with an estimated population of 67,658. It anchors the San Jose-Sunnyvale-Santa Clara metro area. The median home value in Palo Alto is $3,683,761 as of 2026-04, up 1.9% over the last 12 months. Over the last five years, home values have averaged +3.9% annual growth, with prices at or near the 5-year peak. Rents in Palo Alto average $4,170 per month, up 7.1% year-over-year. The composite momentum score is 62 of 100 (Rising). The market is healthy with prices supported by underlying demand.

▲ Bull case

●Held the highs: currently -1.8% from the 5-year peak — this market refused to give back gains.
●Hot rental market: rents up 7.1% YoY — landlords have pricing power, supports new investment math.

▼ Bear case

●Expensive AND not growing: median home $3,683,761 with only +1.9% YoY. You’re paying premium pricing for a flat trend.
●Flat or shrinking population: -0.3% per year. Housing demand has to come from somewhere — verify the source.
●Rental squeeze: rents up 7.1% YoY — tenants face tough renewals. Affordability deteriorating fast.

About Palo Alto (Wikipedia)

Palo Alto is a charter city in northwestern Santa Clara County, California, United States, in the San Francisco Bay Area, named after a coastal redwood tree known as El Palo Alto.

Source: Wikipedia · this summary is contributed and licensed under CC-BY-SA.

City facts

MayorEd Lauing
Area26.00 sq mi
Elevation30 ft
Density2871.52/sq mi
Named forEl Palo Alto

Extracted from the Wikipedia infobox. Values may be slightly out of date relative to the latest sources.

Playbook

Buyer

You're not in a frenzy but you're not getting bargains either. Make a competitive offer with normal inspection terms. Don't lowball — the listing will move with or without you.

Seller

Price at fair market value; expect movement in 30-45 days. Don't get clever with terms (rent-back, contingencies) — buyers in a Rising market have options.

Investor

Appreciation tailwind exists but cash flow requires discipline on price. Run the numbers conservatively and confirm rent comps before committing.

Local safety & alerts

No active National Weather Service alerts for Santa Clara County right now.

NWS active alerts (CA)California Emergency ManagementHow to prepare (NWS)

Public-safety links are official .gov sources, not curated by us. Santa Clara County routes NWS alerts; check the state EM portal for non-weather emergencies.

Neighborhoods of Palo Alto

27 tracked · ranked by median home value
1Crescent Park$5,720,068+4.2%
2Professorville$5,652,046+9.7%
3Old Palo Alto$5,393,166+3.4%
4Jordan Jr. Hgh School$4,689,558+1.3%
5Community Center$4,609,488+2.1%
6Duveneck – St. Francis$4,105,264+0.7%
7Green Acres$3,954,694+6.4%
8Southgate$3,931,535+9.6%
9Palo Verde$3,857,338-0.5%
10St. Claire Gardens$3,855,980+3.7%
11Barron Park$3,829,629+6.5%
12South of Midtown$3,763,646-1.6%
13Triple El$3,719,269-1.5%
14Midtown$3,663,194+1.1%
15Greenmeadow$3,541,766+2.4%
16Adobe Meadow – Meadow Park$3,483,630+0.8%
17Fairmeadow$3,322,991-3.1%
18College Terrace$3,169,370+3.6%
19Monroe Park$2,995,873+1.6%
20Palo Alto Orchards$2,908,066+0.7%
21Charleston Gardens$2,846,206+1.8%
22Charleston Meadow$2,610,836-1.2%
23Ventura$2,548,468-2.5%
24University South$2,548,293+4.9%

See the full neighborhood ranking →

Cities like Palo Alto

Belmont, CA62 · RisingSanta Cruz, CA57 · StableRedondo Beach, CA61 · StableRedwood City, CA56 · Stable

Run the numbers for Palo Alto

ToolCan I afford Palo Alto?Income → city shortlistToolROI on a Palo Alto rentalCap rate, cash-on-cash, DSCRToolCompare Palo Alto to anywhereSide-by-side up to 3 citiesToolPalo Alto cost-of-livingEquivalent income elsewhere

Sources: Zillow ZHVI (home values), Zillow ZORI (rents), US Census ACS + place population. Updated when source agencies publish revisions.

Climate & natural-disaster risk

Winter (Jan)
60° / 41°
avg high / low
Summer (Jul)
82° / 60°
avg high / low
Sunny days/yr
258
~71% of year
Annual precip
22″ rain
8″ snow
Disaster risk (1=very low, 5=very high)
Hurricane
Very low
Tornado
Very low
Wildfire
Very high
Earthquake
Very high
Flood
Moderate

State-level averages from NOAA Climate Normals (1991-2020) and FEMA National Risk Index. City-level conditions can vary significantly within a state.

Local sports teams

Major professional teams the San Jose-Sunnyvale-Santa Clara area cheers for. Detailed stats, schedules, and player pages on intherafters.com.

Current weather

Loading current conditions…

7-day forecast on weather.gov →

Find rentals & listings

Open current Palo Alto listings on the major real-estate sites.

Links open the live search on the destination site — results are always current.

Local news & community

Updated 2026-05-21 from Google News + Reddit RSS. Headlines link to original sources.

Local economy & environment

Humidity
65%
Moderate climate
Median household income
$91,500
California state median
Top industries (state-level)
TechEntertainmentAgriculture

Humidity is annual average relative humidity (NOAA). Income is Census ACS 5-year estimate. Industries are largest employment sectors statewide (BLS); the local mix in a given city may vary.

Cities similar to Palo Alto

Explore other places with comparable momentum or affordability.

See all California cities →    Browse best-of lists →