2020 Q1 Market Report | Carmel Realty Company

Page 1

Carmel-by-the-Sea, Carmel Point, Greater Carmel, Carmel Valley, Pebble Beach, Carmel Highlands, Big Sur & South Coast

Q1 2020 Market Report

Dolores South of Seventh ■ P.O. Drawer C ■ Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338


Q1 2020 Market Report

A

fter a strong finish to 2019, Monterey Peninsula was off to a healthy Q1, 2020. The underlying fundamentals seemed to be improving until we experienced the drastic change with the Shelter-inPlace on March 17, 2020. That slow down did not dramatically affect Q1 because most sales already in escrow proceeded to close. Since then the number of new listings and escrows has dramatically slowed. While we would traditionally be looking at Q1 results as a strong indicator, at this point, all projections are off. At this time it would be irresponsible to attempt to forecast the speed of recovery. However, we do know that there are a number of key drivers at play that will put both positive and negative pressure on our real estate market. As a company, we are closely tracking all of the positive and negative drivers. We are preparing to help our clients make the most of the opportunities and are working to offset challenges wherever we can. This includes new sales tools, channels and messaging strategies targeting over a dozen key drivers, e.g., pent up demand and lower interest rates vs. higher inventories and investment portfolio pressures. Over time, like the stock market, our real estate market always delivers. We live in one of the most desirable communities in the world with limited inventory of homes. We know that together we will get through this crisis and that our market will in time return to a healthy, vibrant community with appreciating real estate values and an extraordinary quality of life.

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Table of Contents

Q1 2020 Market Report

Carmel-by-the-Sea & Carmel Point ���������������������������������������� 4 Greater Carmel ���������������������������������������� 6 Carmel Valley ������������������������������������������� 8 Pebble Beach ��������������������������������������������10 Carmel Highlands, Big Sur & South Coast �������������������������� 12

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

3


Carmel-by-the-Sea & Carmel Point

About Carmel-by-the-Sea

Q1 2020 Market Report

Average Selling Price

C

armel-by-the-sea and Carmel Point had a strong Q1. While the total number of sales was down the total sales volume was slightly ahead of the previous quarter and consistent on average with all of last year. The market strength was driven by high quality home sales. Nearly 30% of the homes sold in the quarter where $3M and over driving the average sales price in Carmel to the highest number it has been in over 5 quarters.

2020 Q1 Sales by Segment

vs Q

Sales Volume

M

vs Q

7% 23%

33%

37%

<$1M | 0 $1M-2M | 10 $2M-3M | 11 $3M-5M | 7 $5M+ | 2

Units Sold

vs Q

Days on Market*

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Carmel-by-the-Sea & Carmel Point

Q1 2020 Market Report

Average vs Median Sales

Days on Market*

$2.8M

120

90

$2.1M 60

$1.4M 30

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Average

Median

* DOM count was suspended on March 17, 2020

Average vs Median Sales Price by Quarter

Closed Sales by Quarter

Closed Sales Volume by Quarter

$100M

40

$75M

30

$2.8M

$2.1M $50M

20

$1.4M $25M

10

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

2018 2019 2020

Q2

Q3

Q4

2018 Median 2019 Median 2020 Median

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

5


Greater Carmel

Q1 2020 Market Report

About Greater Carmel

G

Average Selling Price

reater Carmel is considered neighborhoods of Carmel that fall outside of the Carmelby-the-Sea rectangle and Carmel Point. This area performed better than Q1 of 2019 and worse than Q4 of 2019. Of the 18 sales 11 were in the $1M-$1.6M price range. Many of these sales were larger properties at comparatively more approachable prices. Momentum seemed to be building in this area prior to the March shutdown.

6%

Sales Volume

M vs Q

<$1M | 4 $1M-2M | 11 $2M-3M | 2 $3M-5M | 1 $5M+ | 0

11%

vs Q

2020 Q1 Sales by Segment

22%

Units Sold

vs Q

61%

Days on Market*

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Greater Carmel

Q1 2020 Market Report

Average vs Median Sales Price

Days on Market*

$1.75M

120

$1.5M

90

$1.25M

60

$1M

30

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Average Sale Price

* DOM count was suspended on March 17, 2020

Median Sale Price

Closed Sales Volume by Quarter

$50M

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Closed Sales by Quarter

Average vs Median Sales Price by Quarter

30

$1.75M

$38M

$1.5M

20

$25M

$1.25M

10

$13M

$1M

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

Q2

2018 2019 2020

Q3

Q4

2018 Median 2019 Median 2020 Median

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

7


Carmel Valley

About Carmel Valley

C

Q1 2020 Market Report

Average Selling Price

armel Valley had a very strong Q1, building on an even stronger Q4 of last year. The average sale price for the quarter of $1.987M is one of the highest averages seen in years. This was driven by the sale of Fox Creek Ranch, a 275 acre ranch for $17M, along with a strong sales activity in The Preserve where there were 5 transactions in the quarter averaging just over $4.2M.

vs Q

Sales Volume

M

2020 Q1 Sales by Segment

2%

40% 14%

7%

vs Q

<$1M | 17 $1M-2M | 16 $2M-3M | 3 $3M-5M | 6 $5M+ | 1

Units Sold

vs Q

37%

Days on Market*

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Carmel Valley

Q1 2020 Market Report

Average vs Median Sales Price

Days on Market*

$2M

120

$1.5M

90

$1M

60

$0.5M

30

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Average

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

* DOM count was suspended on March 17, 2020

Median

Closed Sales Volume by Quarter

$100M

Average vs Median Sales Price by Quarter

Closed Sales by Quarter

$2M

80

64

$78M

$1.63M

48 $1.25M

$55M 32

$0.88M

$33M

16

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

Q2

2018 2019 2020

Q3

Q4

2018 Median 2019 Median 2020 Median

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

9


Pebble Beach

Q1 2020 Market Report

About Pebble Beach

Average Selling Price

P

ebble Beach was coming off a very strong Q4 of 2019 with two sales over $20M just before the year ended. Comparatively, there was only one transaction in Q1 of this year over $5M and 13 of the 16 transactions were $2M or less. This is very uncharacteristic of the market, although Q1 of 2019 was also much lower than the other 3 quarters last year. There are currently 10 listings available in Pebble Beach over $10M.

13%

69%

vs Q

Sales Volume

M

2020 Q1 Sales by Segment

6% 6% 6%

vs Q

<$1M | 1 $1M-2M | 11 $2M-3M | 2 $3M-5M | 1 $5M+ | 1

Units Sold

vs Q

Days on Market*

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Pebble Beach

Q1 2020 Market Report Days on Market*

Average vs Median Sales Price

240

$4M

$3.25M

180

$2.5M

120

$1.75M

60

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Average

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Median

* DOM count was suspended on March 17, 2020

Closed Sales Volume by Quarter

$160M

Closed Sales by Quarter

Average vs Median Sales Price by Quarter

50

$4.5M

40

$125M

$3.5M

30 $2.5M

$90M 20

$1.5M

$55M

10

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

Q2

2018

Q3

2019

Q4

2020

Q1

Q2

2018 2019 2020

Q3

Q4

2018 Median 2019 Median 2020 Median

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

11


Carmel Highlands, Big Sur & South Coast

About Carmel Highlands

T

Average Selling Price

he Big Sur, South Coast, Carmel Highlands market typically does not have enough transaction volume for data to be predictive. Q1 was off to a great start led by the sale of 3 oceanfront or big view properties, There was a total of $18M in sales volume in the quarter which nearly matched all of last year’s volume of $21.8M. With a number of great properties still for sale in the Highlands, Big Sur area, things were on track for a potential record-breaking year prior to the March slowdown.

25%

vs Q

Sales Volume

M

2020 Q1 Sales by Segment

25%

Q1 2020 Market Report

vs Q

<$1M | 0 $1M-2M | 1 $2M-3M | 0 $3M-5M | 1 $5M+ | 2

Units Sold

vs Q

50% Days on Market*

Dolores South of Seventh â– P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 â– Fax: 831.624.7338


Carmel Highlands, Big Sur & South Coast

Q1 2020 Market Report

Average vs Median Sales Price

Days on Market*

$6.5M

240

$5M

180

$3.5M

120

$2M

60

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020

Average

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 * DOM count was suspended on March 17, 2020

Median

Closed Sales Volume by Quarter

Average vs Median Sales Price by Quarter

Closed Sales by Quarter

$30M

8

$7M

$23M

6

$5.25M

$16M

4

$3.5M

$8M

2

Q1

2018

Q2

Q3

2019

Q4

2020

$1.75M

Q1

2018

Q2

Q3

2019

Q4

2020

Q1

Q2

2018 2019 2020

Q3

Q4

2018 Median 2019 Median 2020 Median

Dolores South of Seventh ■ P.O. Drawer C Carmel-by-the-Sea, California 93921 Office: 831.622.1000 ■ Fax: 831.624.7338

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