COVID-19 and the Real Estate Market
As the province, country and the world find their way through these unprecedented times, I thought it would be time to bring everyone up to speed on the real estate market in general.
1) The world is not ending. It is certainly going through a wake-up call, but there will be a tomorrow. Call this a “pause” or reset button. This will be an eye-opener for a lot of people. Things will be different on the other end of this pandemic. It just might be for the better; unfortunately, to get there, a lot of heartache, anguish and financial implications will be a direct result.
2) With social distancing, comes staying at home. Many people will not be going on vacation – they are going to be bored. Our experience from Christmas was where we saw online activity on our listings increase dramatically because people had time to search online for their next home or investment.
If you are thinking of selling, get in the market as soon as possible. There should be lots of online activity – there may be a slow down in physical activity going through property but with photography and video – the first showings are online anyways. When we come out on the other side of this pandemic, our listings will be prime targets to be physically viewed. Proper health and safety protocols can be put in place to limit physical showings or the number of people through a property.
We have been here for over 45 years, we will be ready when you are.
5) Typical to other problems in the world we have experienced, the real estate market should have a general softening of market activity for 4-6 weeks. In watching Asia’s recovery, it was about 6-8 weeks and the trend of infection subsided and is now recovering with fewer and fewer infections. We need to know that the conditions the North American people are being asked and ordered to do is so that health care can manage the outbreak. It is to smooth the “curve” where there is not a mad influx of sick people in hospitals and doctors’ offices… because the health system can not support that amount of sickness. By slowing the spread – the infection does not infect as rapidly and hopefully not at all, and people getting sick is lessened and health care workers can manage and give support. Interest rates and government EI and economic stimulus hopefully will help soothe the short term pain. People still want to make a move, interest rates are good and if they have a job that is decently secure, there will be people to buy and sell. Given where our markets were heading this spring with multiple offers – we just may end up with a good balanced market moving forward after April, mid-May… it just may be the reset button this market needed.
Remember, we know what we are doing, we have done it over a thousand times. We research, we analyse and we help make plans and goals that lead to success. That is what we do. We will get through this and we will be better in the end. Stay safe.
Brett Puckrin, AACI, P.App, PLE
Sales Representative
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