How do these times of uncertainty affect Real Estate?
Now is the best season and exciting time for Buying and Selling in Real Estate. Then COVID-19 happened. As a result, an unexpected wildcard comes into play. Known as the Coronavirus, COVID-19 caused widespread fear amongst families. For instance, they have become uncertain of what to do next in their Real Estate venture. Responding to this issue, we made this article to help you determine and encourage you to continue your interest in buying and selling homes. In other words, By the end of this report, your perspective might change. This may be the best time to buy and sell a property.
Let’s talk about the Stock and Housing Market!
As we began to feel the effects of the outbreak in China due to shortages and delays in consumer goods. As well as restricted travel, social distancing and the closure of businesses in some states. Lower consumer spending is no hurting the economy. However, the Stock and Housing market are not always tied together. People don’t buy homes as merely an investment, they’re a basic need that changes depending on life stages. In other words, the housing market is stable during stock market dips and even in recessions. Take a look back at the 2008 financial crisis. Strangely enough, the cause of this market crash was due to a housing market crash in which we saw home prices drop by a whopping 17%. Nevertheless, in 2001’s recession, home prices grew by 4% and during the 3 other recessions in the recent 50 years, have remained steady in comparison.
In conclusion, it is safe to say that whatever happened in 2008 was unusual and will unlikely to happen again. Once the fear is gone, the virus gets restrained and the government grants Economic Stimulus Package to compensate for the quarantine, the dip in the stock market will be short-lived, and another recession won’t be imminent.
The Real Estate Good News!
Rejoice! The number of buyers and sellers is flooding the housing market right now! Buyers are conducting home searches virtually and for sellers, they’re taking advantage of the low-interest rates that will make their property on high demand. Staying at home doesn’t mean the business stops. You can still schedule online appointments with your local Real Estate Agents. From virtual home tours to video chats, even document processing all of these are possible in an online setting. However, if you’re into an in-person type process, we will take extra precautionary measures to make sure you’re always protected.
If you’re now interested in doing business with us through this article. Feel free to give us a call at 865-365-2280.
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