By Clyde Noel

Gary Wheeler, vice president and manager of Alain Pinel Realtors, discusses the prospect of sales in Los Altos.

Having lunch with Gary Wheeler means a couple of stories, some laughs and a long discourse on the importance of owning your home.

Vice President and Manager of Alain Pinel Realtors in Los Altos, Wheeler spoke to the Los Altos Kiwanis Club last Tuesday on why there won’t be a real estate balloon bust for Los Altos.

“The area has pockets of concern, but the Los Altos/Los Altos Hills section is in a safe pocket,” Wheeler said. “Real Estate is location, location, location and good schools. There is no safer dollar than to put it in a Los Altos home.”

Wheeler provided a short history of Los Altos real estate starting with the many agencies that Coldwell Banker purchased. Alain Pinel is independent and one of the largest real estate companies in the south peninsula.

Real estate agencies evolved as they adjusted to the changing times.

“Agents today, have to travel. They have a laptop and a computer and we don’t pass off leads because the agent is expected to follow up in Sunnyvale, Palo Alto or San Jose,” Wheeler said. “It’s all about marketing the property.”

Wheeler spent a long time on disclosures. The list has no limit, but there are some common triggers that may cause a lawsuit. Old abandoned septic and oil tanks, contamination that once existed but was cleaned, nearby crimes, and in the general neighborhood, low aircraft traffic and other noises.

“Nondisclosure is the biggest nemesis in real estate,” Wheeler said. “Watch the lot size and the square footage of the house. There are some square-foot buyers who look for inaccuracies and others that look at fence lines and encroachments. If there is any doubt - disclose - it may prevent a future lawsuit.”

Wheeler quoted recent statistics for Los Altos, Los Altos Hills and Mountain View.

“The period around 2000 was a freak transactional period with multibids and people throwing away money, but times have changed to a more functional period.” Wheeler said. “In Los Altos in 2002, we had 398 sales that averaged $1,279,000. In 2003 we had 456 homes sold and in 2004 we have about 50 percent of that sold already and the price is up to $1,530,000.”

Los Altos Hills had 60 sales in 2002 at $2,327,000; 2003 had 89 sales and in 2004, we have had 51 to date at an average price of $2,627,000. A flat piece of land close to downtown will sell for more than $2 million.

According to Wheeler, the future is unknown because of jobs. According to projections, companies are hiring again, but are very cautious.

As of Oct. 12, there were 58 homes for sale in Los Altos and 87 in Los Altos Hills.