We hope this email finds you and your family well during this difficult time. As the coronavirus lockdowns persist, we continue to field questions from clients, friends and colleagues about its effect on the real estate industry.
We have included a report below that analyzes the effect of the crisis on supply and demand by reviewing week by week statistics, sales price trends reflecting the market before the crisis and longer-term trend data to give context to how the market typically performs at this time of year. Spring is usually the most active selling season and often sees the highest median sales prices of the calendar year — due to both the level of buyer demand and the seasonal surge in the luxury home market. (A higher percentage of luxury home sales pulls up the overall median sales price).
As we’ve expressed to many of you, we are continuing to innovate and find ways to help our clients with their buying and selling needs safely and responsibly. As always, we welcome any questions and would love to hear from you. Please reach out to us! 415.748.1519.
Dale and Alla
San Francisco Real Estate & the Coronavirus
April 2020 Report
In virtually all Bay Area counties, first quarter and March median sales prices were quite strong with single-family home sales falling just short of 2019 Q1 numbers (down 4% with 370 sold this year vs. 385 last year). At the end of March, there were 13% less single family homes in contract than the same time the previous year. The average sales price is higher than last year despite competitive value pricing.
All of the sales price data we have (as of the first week of April) still reflects the market BEFORE the shelter-in-place rules went into effect. This is due to a time lag – usually 3 to 6+ weeks – between a new listing coming on market, an offer being negotiated and accepted, and when the transaction actually closes sale.
It’s important to note that the following numbers may have been unaffected by the coronavirus lockdowns in the last two weeks of March. Next month may be a very different story.
Shelter-in-Place Effect on Inventory & Deals – by Week
# of new listings by week (since shelter-in-place order)
March 15-21 (SIP ordered March 17): 50 (-67% down from last year)
March 22-28: 31 (-81% down from last year)
March 29-April 4: 53 (-68% down from last year)
April 5-11: 61 (-66% down from last year)
April 12-18: 78 (-49% down from last year)
April 19-25: 98 (-36% down from last year)
# of properties listed between 3/15-4/28 that have since went into contract or sold: 108 (-87% down from last year!!)
The threat of coronavirus has resulted in lower inventory as sellers hesitate to put their homes on the market. Combined with increased sales, this has led to lower months of supply. Although there are less showings, serious buyers are out there making offers. Our team continues to receive offers and make deals.
Stunning Edwardian Condo
1103 Guerrero Street
Offered at: $1,850,000
Stylish Modern Loft-style Condo with City Views
1 Federal St #48
Offered at: $950,000
Central Sunset Beauty
Offered at: $1,299,000
Sold for $4,500,000!
Sold for $505,000 over asking!!
Gorgeous Tudor View Home
Sold for $2,500,000
Sold for $2,800,000!
Stunning New Construction with Breathtaking Views
Sold for $1,635,000!
Beautiful and Bright Glen Park Home