Positive Momentum Curtailed by Shelter-in-Place

Prior to the March 16 shelter-in-place (SIP) order, the first half of March was looking quite promising in terms of

sales and prices. In fact, 3 counties (Monterey, San Mateo and Santa Clara) ended March with higher median

prices than a year ago despite the SIP. Also telling was that Median Days on Market, a key indicator of demand

and the overall speed of the market, dropped by more than 20% in all counties, and Santa Clara returned to single

digit Median DOM (8 days). Similarly, the price paid for homes showed an increased premium compared to a year

ago in San Mateo, Santa Clara and Santa Cruz where the average % of list price paid is 106% in Santa Clara and San

Mateo and 101% in Santa Cruz.

It is impossible to determine for certain to what extent the mid-month SIP hampered the local market, but next

month’s data should paint a clearer picture of its negative impact.