REALTORS® adapted quickly to close existing deals; market facing uncertainty during continued social distancing

WEST YARMOUTH, MA—(April 13, 2020) According to preliminary data released last week by the Cape Cod & Islands Association of REALTORS® (CCIAOR), 400 homes sold in March, 326 single-family homes and 74 condominiums. Median sales price was $441,250 for single-family homes and $306,000 for condominiums. Last March, 359 homes (294 single-family homes and 65 condos) sold at a median price of $421,500 for single-family homes and $255,000 for condominiums.

Sales pending at the end of March were 317 for single-family homes and 69 for condominiums – a 11.9 percent decrease for single-family and a 23.3 percent decrease for condominiums, which will show up in closed home sales in the coming months. Last March, there were 360 pending single-family homes and 90 pending condominiums.

“REALTORS®, lenders, and closing attorneys did a herculean job of getting closings across the table to close with sales up more than 10% year over year in March, 2020.” Notes CCIAOR CEO Ryan Castle. “That highlights the strength of the market at that time. We know from discussions with CCIAOR members and lenders that there were real estate closings cancelled because of the issues related to the pandemic. Closings still finishing the month up is a good sign for the market as we are in a period of high uncertainty with COVID-19.”

New listings in March for single-family homes were 480 and 111 for condominiums. This is a 14.7 percent decrease, and a 10.5 percent decrease respectively from last March, which had 563 new listings for single-family homes and 124 new listings for condominiums.

Cumulative days on market for March increased 0.8 percent for single-family homes compared to last March, rising from 123 days to 124 days. Condominiums had a 10.9 percent increase cumulative days on market compared to last March, rising from 92 days to 102 days.

Data released reflects all single-family and condominiums in the Cape Cod & Islands Multiple Listing Service for Barnstable County.

Analysis:

• When looking at leading market indicators, we see inventory taking a drastic turn for tighter supply as fewer new listings came on the market due to COVID-19, in what is traditionally a common time for increased listings.

• This lower level of new listings coupled with sellers who have temporarily withdrawn their house from the market will likely lead to a lower number of homes for sale.

• REALTORS® are adjusting to uncertain conditions as only about ten percent fewer homes went under contract in March despite the massive disruptions to life everyone is experiencing.

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