San Mateo County Residential Home Sales Rebound…For Now.

Trying to Bounce Back

The first half of what has been very forgettable year is now in our collective rear view mirrors.  There have been so many challenges thrown at the national real estate market, and yet our local market continues to show incredible resiliency to these challenges.

After a crippling setback in March due to the shelter in place, the San Mateo County residential real estate market has been playing catch up, and June was a big step in the right direction.  Residential sales in June jumped a whopping 37% from May, and are only sitting only about 14% below the sales figures that were registered in June of 2019.  That's a remarkable change from just last month, where May came in 45% below the total from just the year before.

If the rate of pending sales in San Carlos for the month of June is any indication, look for the July sales numbers to surge even higher when we run these numbers again in a month.

Prices Remain Firm.

Although the average sales price in the County dipped slightly in June, prices are holding firm and are still running higher than 2019.  This is not a surprise, considering the frenetic buying behavior over the last few weeks as the market coped with pent up buyer demand.  But all things considered, it's still amazing to see prices continuing at record levels when so many people expected to be able to find a bargain during the pandemic.

There are several factors why I believe the market will continue its upward trend in the coming months.  Interest rates are forecast to remain very low for the next few months at least, and with international travel almost non-existent, buyers will be local and active during what is normally a very slow part of the real estate year.  The Dow is sitting just under 26,000 as of this morning, and the Bay Area continues to slowly re-open its economy.  The specter of rising C19 cases and another shelter in place, however, could easily curb this market's enthusiasm, so look for July to be a very pivotal month.