According to the NAR in a report dated 4/29/2020, due to the Coronavirus outbreak, pending home sales fell in March in month over month deals to contract activity and year over year pending home sales.
According to Lawrence Yun, NAR's chief economist, “ the housing market is temporarily grappling with the Coronavirus induced shutdown which pulled down new listings and new contracts”. Yun predicts that once consumers acclimate to social distancing public health protocols and the economy slowly and safely reopens, listings and buying activity will resume, especially with the record low mortgage rates.
With new protocols for closings being introduced to the market, 43% of buyers have taken advantage of E-closings so far.
Although there will be local market variations, home prices will hold up well due most likely to an inventory shortage and home prices will increase slightly.
On the lending side of the housing equation, the Federal Reserve is working to boost liquidity for banks, encouraging them to lend more and to help the devastated economy.
The housing market was on solid footing before the Coronavirus pandemic hit but with a flood of defaults, as a result, several banks such as US Bank, JP Morgan Chase and Wells Fargo have raised their requirements to qualify for a mortgage, which will hurt the housing market. Every local real estate market is unique, as is every property and every buyer and seller. Time will tell how different markets will weather this storm.
If you are interested in selling your property or you know someone who is planning to sell their Brooklyn or New York property, whether a single family residential property, an apartment building, a commercial property, mixed use, multi family, coop or condo, vacant land or a development opportunity, call us. You will be very happy that you did.
We always bring our clients the top market price for their property and provide exceptional personalized service from initial consultation to closing.
Accord Real Estate Group
Your Brooklyn Real Estate Brokers and Agents