Thriving: Real Estate in the Age of Coronavirus
An incredibly competitive home buying and selling season was all set for start of spring. Then things took a sudden, sharp turn with the outbreak of Coronavirus (COVID-19). Open houses have become guarded affairs, leading some homeowners to pause or postpone their listings. Many buyers and sellers are feeling uncertain with their real estate plans.
In truth, there are actually many opportunities to grow in the midst of chaos. Unique housing market conditions exist and are inspiring more and more home searches or sales with just a little more innovation and creativity. These factors could turn a very angst-filled season into the best one yet!
- The housing market is durable
The housing market is not directly tied to the dips and swings of the stock market simply because housing is a need. It is bought by people, not for purely investment purposes but is prompted by new stages in their lives.
- Mortgage rates hit lowest since 1971
Compared to 4.41% last year, mortgage rates dipped to the low 3% range in the past month. This occurred after the Federal Reserve cut short-term interest rates to between 0% and 0.25%, the lowest in nearly 50 years. This means buying a home is more affordable than ever and homes are in higher demand.
The result – mortgage applications have increased by 10% compared to last year.
- Severe housing shortage
The nation, as well as the local Kosciusko area, are both suffering from severe housing shortage. To sellers, this is a great opportunity to step up as there is an influx of more eager buyers hunting for reasonably priced properties for sale. Putting your property on the market may generate multiple responses in no time.
- Digital solutions can be maximized
Just because many areas are in lockdown doesn’t mean all interactions are cut off. The internet makes it possible for a wide range of creative marketing opportunities. Instead of the usual open houses, virtual tours can be done from the comfort of your own home. Photos and videos of properties alongside detailed descriptions also help buyers make informed decisions, even without physically visiting the home. In addition, video calls can be scheduled for coordination between buyers, sellers, and real estate agents.
- A quick return to normal is expected
This means those who work hard and smart now in the housing market are sure to reap the greatest rewards.
This also means the mortgage rates may go up again in only a matter of time. Making the best time to buy or sell a home now, more than ever.
Anxiety may be a natural response, but there is also an abundance of opportunity. While there may be a health crisis, there is not a housing crisis, and it is possible to successfully buy or sell a home in spite of the current pandemic. Why not get the house of your dreams at the lowest cost, or earn more money from the sale of your home?
Let The RGroup help you safely navigate this chaotic time, we can help you make your real estate venture thrive.