Real estate sales down due to COVID-19

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Siska Hutapea, President of Cornerstone Valuation, says they have been evaluating the impact of the COVID-19 pandemic to Guam.

Guam’s real estate market has been impacted by the COVID-19 pandemic, according to a real estate expert. Current trends show a slump in sales and an increase in median prices on real estate properties.

Siska Hutapea, President of Cornerstone Valuation, says they have been evaluating the impact of the COVID-19 pandemic to Guam. Cornerstone looked at the real estate sales trend between the first half of 2019 and compared it to the first half of 2020.

Hutapea presented these industry trends during the Rotary Club of Guam meeting earlier today

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“First what we look at is the sales point for all transactions. As you can see, the sales point during the first half of 2019 and the first half-year of 2020 … the sales volume went down by 16 percent for all transactions. For single-family dwellings, it went down by 12 percent. For condominiums, it went down by 52 percent,” Hutapea said.

Meanwhile, Hutapea says median real estate prices went up this year.

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“That is what you can see here… the median for a single-family dwelling, it was $286,000 thousand and it went up by 10 percent this year to $315,000. I remember 20 years ago, when I started these statistics, we were around $105,000 and the past few years it was between 6 to 12 percent growth annually on media price,” Hutapea said.

According to Hutapea, the impact of COVID-19 on Guam’s real estate is a little bit puzzling because the prices are increasing even though the number of transactions is down. Meanwhile, available properties for sale are also limited.

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