Palm Springs Housing Market March 2020: The Coronavirus Changed Everything
How coronavirus is impacting the Greater Palm Springs Area Housing Market
As COVID-19’s impact spread across the country in March, the stock market declines started in February accelerated downward before recovering a bit in the last week of the month. With volatility across all the financial markets, lenders began tightening underwriting standards and some buyers found they no longer were approved for a loan. Massive layoffs also shook the economy with 3.28 million initial jobless claims filed in a single week—the highest in history more than four times over.
The chart above is a sample. You can see the rapid drop in pending sales since Governor Newson’s stay-at-home order. The red line in the chart, which is pending sales moved forward two weeks, points to where real sales (blue line) will be in about two weeks. Currently real sales are averaging 28 units a day; by April 17th they should be under 20 units, according to local MLS (CDAR & PSRAR).
New listings in the Greater Palm Springs Area decreased by 33.62% last month when compared with March 2019.
Pending Sales decreased a whopping 58.57% last month when compared with March 2019.
Closed Sales decreased by 4.92% last month when compared with March 2019.
While the effect of COVID-19 is varied throughout the country, we are likely to see more impacts to housing activity now and into the coming months. Its continued spread is leading many companies and consumers to change their daily activities.
If you are buying, selling or looking for a home, Call 760-766-6093