Despite the ongoing health and economic crisis precipitated by COVID-19, the real estate market made a dramatic recovery from the steep declines in March and April. The median house sales price hit a new high in Q2, and high-end homes, in particular, have seen extremely strong demand – in fact, this applies to virtually every market in the Bay Area. More affluent buyers - the demographic least affected by COVID-19, unemployment, and also having the greatest financial resources - have been jumping back into the market to a greater degree than other segments.
The first chart below illustrates the big rebound in buyer demand, as the number of listings accepting offers in June 2020 rose higher on a year-over-year basis. Of course, closed-sales volume - a lagging indicator - was hammered in Q2 by shelter in place.