The Impact of Pandemic on the Residential Real Estate Market

The COVID-19 crisis importantly impacted the residential real estate market this spring. Health concerns and stay-at-home orders led to fewer purchasers looking for homes and fewer sellers willing to list their properties or permit strangers to enter their homes during a pandemic. In-spite of the steep downturn during the early spring, home sales conjugated in the summer. At the same time, the health crisis brought forth an economic toll in the form of job losses and uncertainty.

Residential Real Estate Market

Fears from the 2007-09 lodging crisis linger in the minds of many, as some homeowners have endeavour to make mortgage payments and the employment rate remains at historic lows. Because of the pandemic, many households are reckoning their housing needs, as their properties have become substitutes for offices, schools, restaurants and diversion facilities.

Conducting a foolproof comparative market analysis before a Residential Home Closings Florida

  • There are many characteristics of a property you must consider when conducting a comparative market analysis.
  • First, start off with the obvious aspects of the piece of real estates:
  • The price of other properties in the same neighborhood that have currently sold and are similar in size and features
  • Any enhancements or upgrades your seller has made to the property
  • Features that fetch more at an auction such as a swimming pool or a lot of yard space

Looking at listings in the area should be your primary step. Break these down into four domains:

Listings that are active

Any property that’s recently out for sale will fall under this banner. Ascertain you only include listings that aimed at buyers that may also interested in your seller’s property. Be alarmed: active listings should only be utilized as a rough guideline. Any price offered for an active listing doesn’t reflect its market value until it sells off, so keep that noted forever.

Listings that are pending

These are the listings that are under contractual agreement, but haven’t closed. Unless you’ve got a real estate connection engaged in the sale, a listing agent unlikely to allow you in on any information about the price of the pending sale. That means until the property closes, you’ll just be making a calculated guess. However, listings that are pending can give you a solid idea of what direction the market is moving forward.

Listings that have sold out

This is where the numbers start to become important. Any property that has closed within the past three months reckoned a comparable sale. These sales are what will render you a true market value, and you should look at between three to six months of comparable sales data to come to a optimized figure for your seller’s property.

Listings that have withdrawn

The least considerable factor of the four; withdrawn listings are pieces of land that have a taken off the market. The most common reason for this is a property was priced too big. And the agent had to get away with the listing and review. That means the average price of a property that withdrawn will almost always on the high side than the average prices you find from comparable sales.

Sale Multiple Opportunities

In 2019, 89% of Americans purchasing their home used a real estate agent, while 89% of the sellers did the same. According to the same study, 90% of buyers would use their agent again or suggest their agent to others. If you have a great sales process you can form an enjoyable process for clients and turn one sale multiple opportunities. If broken, the Residential Home Closings Florida process can be time-consuming, frustrating and full of back-and-forth discussions between a marketer.

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