Many home buyers and sellers are probably wondering what is happening how is the coronavirus affecting the real estate market?
Should buyers stop looking? Should sellers not put their house on the market because of the coronavirus?
For each person that is a very individual decision based on your circumstances and comfort level.
What Is The Data Showing About How Is The Coronavirus Affecting The Real Estate Market?
While it may be too soon to really get a handle on how the local real estate market is reacting to the coronavirus outbreak, I have gathered some quick information.
I ran a report from my showing service, Showingtime. It is a third party service that schedules showings. In our area they service a little over 50% of the listings available.
Looking at the data so far this year, we have not yet seen a significant drop in national buyer activity,” ShowingTime reports. “There may be future effects of COVID-19, so the situation will be monitored closely. At this time, it seems most buyers and sellers do not regard seeing a few individual homes with their agent as a significant risk.
Quote from Showingtime in National Association of REALTORS® article Coronavirus Forces Culture Change in Real Estate
I ran a report for Tewksbury, Andover, Wilmington, Lowell and Billerica from Sunday March 15th to Thursday March 19th. There were 252 scheduled showing for that time period. I ran the same report for the same week in 2019 and there were 361 scheduled showings.
While there is about a 30% drop off in scheduled showings the local real estate market has not come to a screeching halt. It shows signs of being cautiously optimistic.
Buyers are still out looking and new listings are coming on the market.
I have a huge network of agents across the country and so far it seems to be they are seeing much of the same in similar urban markets.
For the foreseeable future it is business as usual it seems
The Coronavirus and Home Sellers
While buyer activity is down 30%, it has removed buyers on the fringe. Those are the buyers that maybe just started their home search or are afraid of losing their jobs.
I think the buyers left in the market are mostly serious buyers. They have to buy or have a strong want to buy. There are also sellers keeping their homes off the market with the uncertainty the coronavirus brings to the market.
As a home seller if you have a want or need to sell, I would go ahead and list your property, there are still plenty of buyers looking and the inventory will be low. This will allow your house to stand out.
The Coronavirus And Home Buyers
This could be your opportunity to buy a home without as much craziness that we have seen. It may give you the opportunity to negotiate without 12 offers on the table.
Combine that with extremely low interest rates and you might find conditions a little bit more favorable for you.
Of course this data is gathered from a very small time period. Only time will tell what will happen with the real estate market in light of the coronavirus outbreak.
Remember, real estate is hyper local. If you are elsewhere in the country discuss with your agent how your local real estate market is reacting. The greater Boston area has been in a housing shortage for awhile and the underlying issue is lack of inventory.
I know that I am continuing business with optimistic caution. I am available to show homes and list homes for sale throughout Essex and Northern Middlesex Counties. If you want to discuss your situation, please call me at 978-360-0422.
Also please check back, the coronavirus situation is quickly evolving and as of yet there isn’t much data to go on. I will try to keep this page updated.