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More California REALTORS® expect COVID-19 to impact housing market

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For release:
March 19, 2020

  More California REALTORS® expect COVID-19 to impact housing market,
C.A.R. flash survey finds

LOS ANGELES (March 19) – As the coronavirus pandemic continues to worsen, a growing number of California REALTORS® this week expect the pandemic to negatively impact their business, primarily with open house traffic, where 85 percent expect a negative impact in that area of their business, according to a flash poll conducted by the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.)

(Note: the survey was conducted March 14-16, prior to the “shelter in place” and the closing of non-essential businesses announcement in six Bay Area counties and Sonoma County and before Los Angeles’ mayor issued temporary restrictions to slow the spread of the coronavirus.)

Highlights of the poll:

  • More than three-fourths (78 percent) of California REALTORS® expect there will be a negative impact on home sales, up from 53 percent last week.
  • Nearly three in four (74 percent) said they expect time on market will be negatively impacted, up from 51 percent last week.
  • Seventy-four percent of California REALTORS® said home sales will be negatively affected, up from 53 percent last week.
  • Other areas that REALTORS® said would be negatively impacted were housing inventory (62 percent), price (58 percent), closing (52 percent), time in escrow (45 percent) and market competition (41 percent).
  • Seventy-five percent said they have not been doing more virtual tours. (This question was not asked in Week 1.)
  • More than a half of REALTORS® (54 percent) had clients who backed out from a home purchase because of the coronavirus and less than one-half (45 percent) had clients who backed out from a home sale. (This question was not asked in Week 1.)
  • The vast majority of REALTORS® have not had sellers who wanted to take their home off the market due to coronavirus concerns. (This question was not asked in Week 1.)
  • Two-thirds of REALTORS® had clients asking them coronavirus market-related questions, up from 40 percent last week.

The survey was conducted March 14-16 via email, asking members how the coronavirus outbreak was affecting their business. Nearly 1,100 responses were received.

Leading the way…® in California real estate for more than 110 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States with more than 200,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

 

 


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