With the onslaught of COVID-19, the real estate market is inevitably going to change. But what are the housing trends that economist predicted over the next couple of quarters? That is definitely the question because no one has seen this type of pandemic in our lifetime so it's definitely going to affect all walks of life and factors of business and it's hard to predict what that outcome will look like. We've seen mortgage rates seesaw up and down, canceled open houses, and a little bit of chaos you're there, but while business may not be as usual, business definitely goes on and real estate is an essential part of that. So what do we expect the second quarter of 2020 in real estate to look like?
The spring homebuying season which is now upon us will look different than anything in the past. There will probably be a dip, naturally, because those that just don't have to buy or sell or holding off. We will see this trend over the next couple of months but it may not last for too long. Once this all ends, we may see a spike toward the first part of fall or even winter as those that have held off are now jumping into the market.
Home values are predicted to stay steady, especially if this virus business is short-lived. If we can keep it under six months, chances are the housing industry will rebound or not even see a huge hiccup in the industry.
It's likely that mortgage rates will drop even further prompting more people to get into the real estate market whether they're really ready or not. Ready meaning relative in that they wanted to sell, they plan to sell or buy, but they held off because of the virus issue. With mortgage rates dropping even lower, this may give them the push they needed to go forward.
Refinancing is a great option right now. If you're stuck at home, you can literally refinance without any human contact whatsoever. We have several refinance and mortgage options that allow for zero contact or at the very minimum, a notary at the very end of the process coming to you in your home, one on one, without fear of contamination for final signing.
Digital technology is more important than ever. We've been seeing the digital and online technology increase over the last 10 to 20 years and it's definitely not stopping now. Everything will be done with e-signatures, online data transfer, secure transfer of documents and credit information, and pretty much everything from application to final signing can be done online.
More virtual tours. Buyers still want to be able to see the house so whether it's a private, one-on-one showing or a virtual tour with face time or YouTube videos with your agent, virtual tours and virtual showings will be more prevalent than ever.
This is a very uncertain time but real estate will definitely go on. While we might not need the retail shops and boutiques right now, real estate is essential and people still need to buy and sell a property. It can be done. We are not slowing down and we are here to make sure that you and your family stay healthy, get into the home you need, or sell the property quickly for as much profit as possible. Call us today to find out how we can make your buying and selling experience safe, healthy, and positive.
Additional: How to Feel Safe Buying and Selling During the Virus