Q1 2024 Market Report Mry & PG | Carmel Realty Company

Q1 2024 Market Report

Carmel-by-the-Sea & Carmel Point ■ Greater Carmel ■ Carmel Valley ■ Pebble Beach

Carmel Highlands Big Sur & South Coast ■ Pacifi c Grove ■ Monterey & Del Rey Oaks

Q1 2024 Market Report

Q1 2024 Market Overview

Much like the close of 2023, the Monterey Peninsula’s real estate market had a sleepy start to 2024. e typical rainy and windy weather conditions throughout the opening months of the year paired with continued economic pressure on both the entry level and luxury ends of the market led to a slow rst two months of the year. e entry level market remained uneasy due to lingering elevated interest rates. e higher end of the market stayed slow over the winter months due to macroeconomic uncertainty, geopolitical concerns, and other distractions that kept most a uent buyers on the sidelines. Luckily, as we moved into March, we felt a surge of activity. A er 91 new listings in January and 98 more in February, March saw 152 new listings come to market. is was the highest number of new listings we have seen come on the market in one calendar month since June of 2022.

Looking back, as we have discussed in our recent quarterly updates, the market began its slowdown a er its post-pandemic outburst during the second half of 2022. e fourth quarter of 2022 was the rst post-pandemic quarter to come short of reaching 300 sales. e market has since failed to reach 300 sales for six consecutive quarters. While just 205 sales closed in Q1 of 2024, like the return of new listings, there was also an increased number of sales in March 2024. A er sales numbers of 57 and 60 during January and February, March saw a rise to 88 sales, representing 43% of all sales during the quarter.

As you dive into the speci cs of the individual areas across the Peninsula, you will see some consistent trends as well as unique di erences in the market between our communities. Sale prices in most areas remain high, with several at or near all-time highs. Conversely, in an area like Pebble Beach, the lack of high-priced sales greatly a ected all numbers in the area, as well as the average sale price for the Peninsula as a whole. Pebble Beach saw its lowest number of sales for any threemonth period this century, as well as its lowest average sale price in four years.

Good news exists moving into the Spring season for Pebble Beach, as well as many other areas across the Peninsula. For example, the March surge brought Pebble Beach eleven sales on listings that currently remain in escrow as we move into the second quarter. ese sales alone, if closed in Q2, would double the sales volume seen in the area during Q1.

Overall, demand in our market remains high, and a er many buyers decided to sit out during 2023, it seems as if new buyer activity has expanded over the last month and remains strong in April and moving forward this year. Expert local insight alongside quality service can add signi cant value when demand, product, and pricing is changing rapidly like it is right now. Please reach out to one of our full-time professional agents should you or any of your friends or family be considering a real estate transaction here on the Monterey Peninsula.

We hope you enjoy the following detailed analytic view of our market.

Market Update

Market Update

Carmel-by-the-Sea & Carmel Point

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With just 13 sales in the quarter and three sales over $6M, Carmel-by-the-Sea notched a record-high quarterly average sale price, topping $4.66M. e 13 sales in Q1 2024 are the lowest of any quarter dating back to 2000. In fact, over this same period, there has never been any running three-month period with less than 16 sales in the area. A er a few years of fast paced sales, the average days to sell of 61 days is right on par with the years 2018-2020. Available inventory sits at just 17 homes on the market to end the quarter, which is down from an average of 55 in the same 2018-2020 period. Four sales topped $4.95M in Carmel-by-the-Sea in Q1 2024. Carmel Realty Company and Monterey Coast Realty teamed up to double end three of these four high-priced sales during the quarter.

Carmel-by-the-Sea & Carmel Point Units Sold

61 Average Selling Price

Sales Volume

$4,661,824

$60,603,710 Days on Market

Q1 2024 Statistics versus Q4 2023 versus Q4 2023 versus Q4 2023 versus Q4 2023 versus Q1 2023 versus Q1 2023 versus Q1 2023 versus Q1 2023

13

Know?

Carmel-by-the-Sea is known for attracting various celebrities and artists. Clint Eastwood served as mayor of the village from 1986-1988. Other notable celebrities, artists and writers who have called Carmel home include Doris Day, John Denver, Ansel Adams and Jack London.

“Monterey County Fun Facts”, Monterey County Convention & Visitors Bureau, 2020

Greater Carmel

e areas outside of Carmel-by-the-Sea & Carmel Point

e Greater Carmel area’s 14 sales in Q1 2024 were the most in a quarter since Q3 2022. An average sale price topping $2.13M was strong, edging out 2023’s yearly average of $1.97M. Inventory has consistently been low in this area, not having topped 20 homes on the market since 2020, and currently standing at 12 homes on the market. e top sale in Q1 2024 was 25820 Hatton Road, listed by Carmel Realty Company.

$2,139,571

$29,954,000

14

Carmel Valley

Including e Santa Lucia Preserve

Carmel Valley set a record for average sale price during Q1, coming in at $2.05M. While 36 sales in the quarter was three more than the previous quarter, a healthy number would come closer to 50 sales in the area. With sale prices being high, total sales volume came in at $73.95M, topping two of the four quarters in 2023. With 51 active listings to begin Q2, there is evidence an uptick in Carmel Valley sales may return as we head into summer.

$2,054,132

$73,948,750

36

Q1 2024 Breakdown

“Monterey County Fun Facts”, Monterey County Convention & Visitors Bureau, 2020 Did You Know?

Monterey County has 349 vineyards, 82 bonded wineries and 65 tasting rooms. e wide range of climates allow Monterey County to grow over 30 di erent wine grape varietals.

Pebble Beach

$2,222,132 Pebble Beach saw the area’s slowest sales quarter on record with just nine sales over the rst three months of the year. In addition, typically an area with 20-30% of sales coming in over $5M in price, Pebble Beach saw just one sale (11%) come in over $5M during Q1 2024. is one sale was a $5.5M property double-ended by Carmel Realty Company. Only one of the other eight closed sales sold for over $3M during the quarter. is brought the quarterly average sale price down to $2.22M, the lowest since Q1 2020. Reasons for optimism do exist in Pebble Beach, as 11 listings are currently in escrow totaling over $38M in list price. If successfully closed in Q2, these 11 listings alone would double Q1’s output. Also, an additional 29 listings remain on the market, which is nearing the most we’ve seen over the past year and a half.

$19,999,190

9

Did You Know?

17-Mile Drive through Pebble Beach is one of only nine private toll roads in the country, and the only one west of Mississippi.

“Monterey County Fun Facts”, Monterey County Convention & Visitors Bureau, 2020

Carmel Highlands, Big Sur & South Coast

Just two home sales occurred in Carmel Highlands and Big Sur during Q1 2024. e area began Q2 with 21 homes on the market, eleven of which are listed over $5M, and seven of which are over $10M. Five homes are currently in escrow in the area, showing promise for a strong summer.

$2,265,000

$4,530,000

2

Did You Know?

Local settings from around the Monterey Peninsula have provided the backdrops for more than 180 lms and television shows. You’ll recognize many scenes in HBO’s award winning mini-series Big Little Lies in Big Sur and the Carmel Highlands.

Pacific Grove

January and February in Paci c Grove were quiet months with just 10 total home sales. March picked up substantially, seeing 12 sales during the month. Still, 22 sales for the quarter were the lowest Paci c Grove has seen since 2009. Average sale price in Q1 came in at $1.67M, just a percentage point below the 2023 yearly average of $1.69M. ere are 30 active listings in Paci c Grove to end the quarter, which is great news as the average days to sell in the area have stayed relatively low at just 45 days.

$1,673,045

$36,807,000

22

Did You Know?

Point Pinos Lighthouse in Paci c Grove is the oldest continually operating lighthouse on the West Coast.

Monterey & Del Rey Oaks

Monterey had a nearly identical Q1 2024 as it had the previous quarter, Q4 2023. e number of sales gently rose from 44 to 46, while average sale price stood still near the record high, $1.40M. Even the average days to sell were similar at 34 days versus the previous quarter’s 33 days. While consistent, Monterey is looking for better times ahead as typical quarters between 20152020 display 75-80 sales per quarter. e Monterra area brought the top three sales in Monterey during the quarter, each topping $4.95M. Carmel Realty Company agents represented the buyers on two of these three highpriced sales.

$1,403,134

$64,544,178

46

“Monterey County Fun Facts”, Monterey County Convention & Visitors Bureau, 2020 Did You Know?

Nearly a quarter million tons of sardines were processed on Cannery Row in 1945, the year John Steinbeck’s Cannery Row was published. Cannery Row was previously named Ocean View Avenue but was renamed to honor John Steinbeck’s well-known novel.

Authentic Market Leaders & True Industry Experts

As the market leading luxury brokerage, for over 100 years we have consistently delivered outstanding quality and service to our clients. Our handpicked team of agents share our commitment to quality, integrity, and the community. Unmatched experience, local knowledge, and collaboration has allowed our team to achieve the highest average agent production in the market year a er year.

When you work with Carmel Realty Company, you can take comfort in knowing you are working with an authentic expert in Monterey Peninsula real estate.