Supply & demand statistics, sales and values by city, the luxury home market, and the dwindling effects of COVID-19
Depending on the statistic, analyses will reflect Napa County alone or the combined markets of Napa and Sonoma Counties. Generally speaking, market activity – as measured by the number of listings going into contract – continued to pick up rapidly in May, bouncing back from the steep plunge following the first shelter in place orders. However, activity in May, which is typically among the busiest selling months of the year, remained below May 2019. Still, with the easing of shelter in place, as well as the market learning to adjust to new circumstances, it is expected the recovery will continue to surge closer to normal. In fact, based on the strength of buyer demand, some analysts believe the coming months may be busier than in 2019, as sales activity that would have occurred in spring gets pushed into summer instead.
The Napa County median house sales price dropped in May 2020, but it is based on a very low number of sales across a very wide range of sales prices, so should not be taken too seriously unless substantiated over the longer term.
Interest rates hit another historic low at the end of May.
Note: Any statistics derived from closed sales – such as median sales prices, sales volume and days on market – reflect the state of the market 3-6 weeks ago when the offers were negotiated and accepted. They are lagging indicators, and May closed-sales data to a large degree reflects the much weaker market in April.