This is a market report unlike any I have ever written because we are going through times unlike anything we have ever experienced. First and foremost, let me extend to all of you my heartfelt wish that you and your family and friends are safe at home and in good health. We are all adjusting to this “new normal,” uncertain how long it will last and what the future holds, but I do believe we will come out of this with a new appreciation for many of life’s simple pleasures. I for one cannot wait to be able to sit in a room with friends and enjoy a meal together.

I do not believe that anyone wants to be “sold” during a time like this — so you will note that the tone of this month’s report is a bit different than reports in the past. Having said that, for most people their homes are their largest investment, so many homeowners want to know how the Marin real estate market is doing. Buyers are temporarily sidelined for the most part, but still want to have that most basic need met — a roof over their heads. 

I will continue to write my monthly market reports to keep my friends and clients informed during this challenging time.

How Has COVID-19 (aka the CoronaVirus) Affected the Marin Real Estate Market?

How has the pandemic and the associated “stay at home” orders impacted the Marin real estate market? The short answer is — it is too soon to tell. For much of March the market shut down, with the order suspending all showings and open houses. Where are we now?

Golden Gate Sotheby’s leadership team has been working diligently to craft a path forward in a way that puts community health first while allowing business to slowly resume in an extremely limited fashion. Right now here are the requirements until further notice:

• No open houses including broker’s open houses
• No showings of occupied homes
• While not recommended, showings of vacant homes are possible in certain cases and are highly restricted. Some of the restrictions and requirements of showing vacant homes include but are not limited to the following:

Only one agent is allowed to be at any showing. Only two buyers that have been sheltering in place together can be at the property with the agent. Buyers and sellers must both have signed property entry addendums prior to a house being shown. Sellers have additional requirements including posting a social distancing hygiene & health notice, as well as providing proper materials for sanitation and disinfection per the required postings.

This is but a small summary of many adjustments that the real estate industry is making to adapt to an unprecedented situation, with the primary goal being maintaining everyone’s safety and health.

How Was the Marin Real Estate Market in March?

Now that we have the COVID-19 news out of the way, I am happy to provide information on what we saw in March. Overall, we saw the median sold price up 1% and the average sold price up 5.2% versus March 2019. Keep in mind that with 30 and sometimes 45-day escrows, these deals were ratified prior to the crisis and are not necessarily indicative of where pricing will be when the market re-opens.

As one would expect given the situation, new listings were down almost 60% vs. March 2019 and contracts that moved into pending status (contingencies removed) were down 48.6% vs. the same period last year.

The Good News

The good news for the market is that we went into this crisis from a very strong position, fueled by a strong economy, low interest rates, a booming job market and pent-up buyer demand. Theoretically that means that if this crisis can be brought under control sooner rather than later, the market should recover relatively quickly.

No one can accurately predict what the state of the market will be once we are through this, but it is conceivable that the shelter in place order will create pent up demand resulting in a very active buyer activity once the order is lifted. I know from emails I have received from other agents that there are buyers out there now ready and willing to buy vacant homes now or occupied homes once the order is lifted. 

Marin could also benefit from those who are looking to move from more dense areas like San Francisco opting for areas where there is more space between homes and open space in general.

With everyone working from home now, extra rooms for home offices are attractive and seclusion is a valuable commodity. The hillside homes of Marin could find they are suddenly in demand.  

The Not-So-Good News

Even the most-optimistic pundits place a return to the new normal as late as July or August. We may not see “a return to normal” until there is a vaccine or better therapeutics to lessen the impact of COVID-19. In the meantime, we are seeing significant damage to the world economy which could impact how quickly the Bay Area can resume its strong economic activity. BOTTOM LINE: It’s too early to tell.

My Own Perspective

I am grateful that I live in such a beautiful part of the country in which to shelter-in-place, and am thankful that I have the means to continue to pay for life’s necessities (I include wine in that list). I am in no hurry to get back to “normal” whatever that is until we can be sure that we can safely resume the activities we took for granted just a month or two ago.

Having said that, there may be some circumstances where it makes sense to market a vacant home and I am also  happy to help buyers who must move now find vacant homes — with proper safeguards in place for their health and mine.

How Can I Help?

As a real estate agent in Marin, I consider myself a part of this community I love and am trying to think how best to serve it. My Marin grocery delivery blog article is getting literally hundreds of reads a day as people try to figure out how to minimize going to the grocery store. Our restaurants are a vital part of our community and are really struggling. Some  of them may not be around after this is over. I have put together a list of restaurants offering delivery and takeout in Marin as well as food delivery services here

I would love to chat with you. Call or text me at 415-847-5584 anytime.

Wishing you health and happiness,

Thomas