If you planned to buy or sell a home in spring 2020, your plans likely have been impacted by COVID-19 and stay-at-home orders. Some buyers and sellers must act now regardless of the pandemic, while, in many cases, buyers and sellers are simply putting their plans on hold for a couple of months. Whether you need to make a move now or later, here are steps you can take to ensure a successful closing.
First of all, real estate is deemed an “essential business” in Texas. What this mean is that all aspects of real estate – from appraisals to mortgages to movers to title companies – can still move forward. While contract periods may take a little longer, real estate deals are still closing every day.
Within this essential business model, however, there are definitely changes taking place. You might expect to see the following changes for the short term:
· More attention to virtual touring, rather than extensive in-person showings
· Risk mitigation strategies for properties that are shown in person
· Fewer listings overall – but fewer buyers, also
· Stricter checks from lenders
· No-contact document signings and/or drive-through style closings
In addition, these factors are likely to continue in the short term:
· Extremely low mortgage rates
· Steady pricing
· Low inventory
National Association of Realtors® Chief Economist Lawrence Yun said, "Home sales will decline this spring season because of unique economic and social consequences resulting from the coronavirus outbreak, but much of the activity looks to reappear later in the year." He also said home prices look to remain stable in the near term because inventory will be reduced.
If you prefer to wait a while before listing or buying a home, it’s a good time to get your affairs in order. Start prepping your house for sale by making small repairs and updates. Start getting your finances in order for a purchase by preparing your credit and implementing the strategies that will help you get approved.
Questions on how best to buy or sell a home during this time? Contact Texas Urban Realty today!
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