The impact of the pandemic has impacted us all in ways we might never have imagined. Have you heard the comment “we are all experiencing this situation, but we are all experiencing it differently”? As we closed out November 2020, it has been difficult to believe that after almost 10 months, the COVID crisis is now rising to new levels. And, yes, we no doubt will have a long way to get our economy and our society back to some state of normalcy, but there are a few bright spots to acknowledge. With the approval of a vaccine on the horizon, the election certified and the continuing low interest rates, there appear to be reasons to be heartened.
The real estate market continues to be one of the bright spots which has thrived even in the face of all of the uncertainty. Looking at the statistics in Sonoma Valley, we find that although November did not perform as strongly as many other months since May of this year, our market is still very strong.
While the median price of active listings during November flourished to $1,649,000 up 16.2% over the same time last year, the number of listings available is still well below the 2019 figures. Interestingly, the closed sales in November showed a decline in median prices year over year by 15.5% respectively.
The good news was that the number of pending and closed sales were both up over the same period last year. Additionally, the average median sales price this year has remained very strong rising over 19% during the trailing 12 months vs. only an 8% increase in the 12 previous months. The “days on market” which has decreased by 28.8% from 79 to 58 days, year over year continues to reflect the strong demand and the indication of a sellers’ market.
The chart shows the total activity of single-family residential transactions in Sonoma Valley, and while we recognize that the numbers are small and therefore even a few listings or sales can sway the figures more on a monthly basis, the true tale will be told by the end of the year when we are able to look at 2020 in total and compare that to a year ago. Stay tuned for that at the beginning of 2021.
Get in touch if you have additional questions about the Wine Country real estate market.