It’s been nearly two months of Sheltering in Place in Monterey County. For most of us on the Peninsula, life has been quiet and we consider ourselves lucky to be near the beautiful California coastline with access to various regional parks and trails. 

Interestingly enough, I’ve put three homes in escrow during this time period. I’ve navigated the perils of an appraisal during a lock-down, the new requirements of masks, booties and gloves, touring a home by walking around the exterior only and requiring buyers to sign the new coronavirus disclosure prior to each showing. There is no doubt the rules have changed. But business is slowly starting to open up. 

I find there are two types of buyers right now. One group that is willing to take on some risk in exchange for reward and a second group who are waiting this out. Watching and learning what the market will do. 

And of course that’s the question, where are values right now? What is the market actually doing? There is certainly a coronavirus discount for any property going into escrow during this time. It’s difficult to quantify that discount, but one appraiser recently reduced the value of a property by 10% due to the virus alone. 

Emotions are high on each side. Sellers are feeling squeezed, while reminding themselves to be grateful to have a buyer. Even the most confident buyer feels a bit of apprehension. 

Through it all, I see some long lasting changes in progress for our industry and marketplace. 

For starters, REALTOR®s need to limit the amount of people going into someone’s home. Which means buyers are now being qualified more than ever before. Sellers are getting less traffic through their homes, but higher quality buyers. 

Secondly, no one knew what Zoom was only a handful of months ago. But now it’s a household name. We are learning to work remotely and with that the ability to live on the Monterey Peninsula, a more affordable and less congested location than the Bay Area, is now a real possibility for many.

Third, a shift in perspective. Buyers are prioritizing outdoor space more than ever. While Carmel-by-the-Sea will always remain a hot spot for vacation homeowners yearning for a quick walk to the beach, primary homebuyers are looking at Carmel Valley and Big Sur with renewed interest for sun and more land. 

Since our shelter in place order on March 17th, our MLS shows that 47 new listings have come on the market, 23 homes have gone into escrow and 49 homes have closed. While that is a far cry from the 70 homes that sold in the same period last year, and with data suggesting a worsening economy, I argue there is still confidence in our market and pent up demand. 

I don’t think I’m alone in saying, re-entry is going to be difficult. While I’ve been lucky to have had the ability to continue working to some degree, a slower pace has set in. An appreciation for the ordinary moments in the day. A need to nest. To play outdoors. I wish you well while we cautiously begin to get back to work, see our friends and family, and resume some sort of normalcy. Please do not hesitate to reach out to me and I look forward to connecting with each and every one of you in the not so distant future.