From my personal contacts, it seems that those who can afford it are now moving out of the cities or acquiring rural "vacation" homes. The people I know who are buying are all upper managers or higher in salary.
Our Southern California beach city has seen 60% increase in home sales over last year and the median price is on more higher priced homes than is typical. These are almost all single family homes with space. If you have to work from home, it is nice to have an extra bedroom or dedicated office.
I haven't noticed this with my neighbors (I'm not sure I would), but amongst my friends and myself I can definitely second this.
It does make me wonder about this line
> The real estate market has been red hot after an initial slowdown during quarantine: (Median house prices)
Maybe it's the case that predominantly rich people are buying/selling right now?