Wow – what a time to be alive. Over the past decade or so, we’ve seen the housing market shift several times due to changes in national economic health. However, COVID-19 has proved to change that dynamic of the buying and selling of homes at a more drastic level than ever before. We’ve never seen a shift that directly affects the nature of how we navigate through the housing market.
Admittedly, one of our favorite interactions is showing a client a beautiful space. It allows us to develop meaningful relationships with them and get to know the kind-hearted people within our community. As of late, we’ve had to adapt to the current needs of our clients and offer virtual showings of houses through video-uploaded walkthroughs and FaceTime showings. Even though home buyers and sellers are navigating the market in a different manner, we are still seeing a drive to purchase and sell homes.
Aside from that, we’ve noticed other changes within the housing market that you should keep your eye on.
Stock Market vs. Housing Market
Unique to its own, COVID-19 has not directly affected the housing market in relation to the current economy. So, try to avoid the assumption that if one markets is plummeting that the other one must be as well. It has been quite interesting analyzing this relationship as usually one dictates the other. The Shaffer Team is grateful and excited that we will still be able to help others find their dream home and sell their properties in this time of economic uncertainty.
In a recent report from Freddie Mac, it was found that even amid the pandemic, purchase demand remains strong. This is good news and bad. The positive side to this is that mortgage rates are and will likely remain low. The downside is that people are wanting to purchase homes at the same rate as before which creates a challenge when putting in offers. The bottom line is that you it is understandable if you are feeling anxious or hesitant when it comes to purchasing or selling your home during this time. The main takeaway is to remember that currently the housing market is still strong.
As we’ve seen in the various recessions that the U.S. has undergone, we will likely see a tough housing market in a few months. Although many homeowners have serious home related equity, the cost of houses will seemingly plunge as income becomes harder to obtain. So if you’re on the buying side, you’re in the clear; but if you’re selling, let’s generate a game plan now.
We hope that everyone is staying safe and healthy during this historical time in our lives. The Shaffer team consists of real estate professionals in Southern Utah, specializing in selling homes. We work with talented photographers, stagers and lenders to ensure your home buying or selling process is efficient and smooth. Call us today to get started at (435) 200-1991.