Redfin President of Operations Scott Nagel said he doesn’t think the ongoing coronavirus outbreak will immediately drive down home prices.

Redfin executives said Thursday afternoon that they are still seeing strong demand for real estate, even amid a crippling coronavirus outbreak, though that could change if the crisis lingers.

Scott Nagel, Redfin’s president of operations, made the comments during a live question and answer session with the company’s general counsel Anthony Kappus Thursday afternoon. Near the end of the session, the two men were asked if the ongoing coronavirus crisis — which has already devastated the stock market — would drive down home prices.

Nagel said that he didn’t think so, at least in the short term.

“We haven’t seen a lot of price drops,” he said. “There are still multiple offers.”

Nagel went on to say that open houses remain busy, and specifically mentioned one instance last weekend during which an agent in New Jersey only allowed one group at a time into a property. The goal was to minimize interpersonal contact.

Buyers responded by lining up outside to see the home.

The point was that Redfin is still seeing a “lot of demand” for homes, Nagel explained, and offers are still being written.

Kappus agreed with Nagel’s assessment.

Scott Nagel, left, and Anthony Kappus. Credit: Redfin

However, things could change depending on how long the crisis lasts.

Nagel explained during the session that while demand appears to remain high at the moment, Redfin is currently seeing less web traffic and “people kind of earlier in the funnel.”

“If that continues then I think prices likely will get lower,” he said.

The comments, and the question that prompted them, speak to the still-open question over what the coronavirus situation will do to the real estate industry. In the U.S., the outbreak and resulting financial turmoil have worsened considerably in the last two weeks, though numerous agents and business leaders have told Inman in recent days that the endgame is still unknown.

In the meantime, many members of the real estate world are girding themselves for hard times. Redfin itself, along with rival Opendoor, has suspended its iBuying program; RE/MAX is letting brokers defer franchise fees; Gary Keller has said the U.S. is in a “market shift”; multiple listing services are rewriting their rules; and even safe houses are on the rise.

That doesn’t mean it’s all bad news. Nagel said during Thursday’s question and answer session he believes individual showings of homes can still be done in a safe manner, and noted that multiple listing services can be leaders during the crisis. And, he said, current events could ultimately drive positive changes such as more acceptance for electronic closings.

Email Jim Dalrymple II

Glenn Kelman
Show Comments Hide Comments
Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription
×