Has Covid-19 Changed Real Estate Forever?

Brought to you by Morgan Financial

Written by Matthew Langdon

7-minute read

The Covid-19 pandemic has undoubtedly affected many aspects of our daily lives, as well as raised numerous unique changes for the real estate business as a whole. While the country moves toward the process of recovery in stages, situations will continue to develop and evolve over time. In this post, we’re going to be discussing the adaptations the real estate industry has had to make in order to meet the evolving demand of the market. What priorities should you focus your energy on, and how we, at Morgan Financial have adapted as a business to meet the needs of our clients and partners.

In the face of a recession, housing prices have largely remained stable in Florida. This is unlike the great housing recession of 2007-2008 as when this recession hit the state’s supply was overabundant. Since then, the supply for available homes in Florida has been in demand since 2015, Florida Realtors said. In Brevard County alone, the number of condos and single-family homes currently being sold per week has increased over 25% compared to pre Covid-19 sales. This recent increase shows some positivity in the market and is a good sign for the future. While stable real estate prices is good news for the homebuyer’s market, it’s equally just as beneficial to invest in real estate now.

Stay Up-to-Date

Be sure to refer to the CDC’s website for information and facts on the Coronavirus, and any up-to-date information on possible travel restrictions. In addition to the CDC’s website, there are daily updates available directly from the World Health Organization. For more information specific to Florida Real Estate, be sure to check Florida Realtor’s website for important local updates.

Buying or Selling during a pandemic?

If you’re thinking about listing your home, you may be wondering just what you can do to attract homebuyers during this time. While the many processes of buying a home have remained mostly the same, they’ve needed to be adjusted to meet the needs of a socially distant society. This means the real estate industry has taken on full adoption of the digital world in using software that was prevalent, but now essential.Because in-person showings have become largely ill-advised or even prohibited in some cases, utilizing software & technology that allows for remote showings have become the predominant way buyer’s view homes now. What once was a casual and exciting process, has become a significant question at the forefront of every buyer’s mind which needs to be addressed. “How am I going to get a feel for this place, if I can’t even step foot into it?” Luckily, the industry has been quick to adapt to this question with the embracing of technology. Remote walkthroughs, photos, video, and 3-D tours have become the primary means in which potential buyers view homes now, and it doesn’t look like it’s going to change any time soon. While there is no substitute for walking through a home, digital tours allow for you to get as close to that feeling as possible.It’s more important than ever to take high quality photos and videos which canvas every corner, closet, and crevice you can. A nice home office or entertainment room very well may now have the same intrinsic value as a pool these days, as more people have moved into remote work environments. Staging your home is one of the most beneficial ways to ensure your property looks and feels its best. You want buyers to visualize themselves living in your space. Connect with an agent that can help facilitate virtual showings in this capacity so you can be assured their proactive and adaptive to today’s virtual climate!

Viewing Homes, from home

Video walkthroughsThe ideal length of time for a real estate related video would be between 3-7 minutes, and at least under 10.

TechnologyZoom, Skype, Facebook Live are great ways to utilize already established tech into your home search, or sale. For realtors, these services have become your bread and butter. Dotloop and DocuSign have been invaluable tools for digitally signing secure documents.

Online shoppingPopular MLS websites such as Zillow, Trulia, and Realtor.com are more prevalent than ever in today’s market.Touring Properties and safety precautionsIn the event that you visit a property on-site, ensure to observe proper safety precautions in accordance with emergency guidelines. Wash your hands throughouly and often with alcohol-based hand soal and warm water. Maintain at least a 6-feet distance between yourself and others, and avoid touching your eyes, nose and mouth.

The benefits of pre-approval

In addition to how we view homes changing, pre-approvals have also become an even bigger player in the mortgage industry. Whereas previously, pre-approvals were usually regulated to being acquired when it was time to submit an offer on the property, it’s now more than ever, strongly advised to get a preapproval upfront before viewing most homes. Acquiring a pre-approval letter has heightened importance in today’s world because it allows your realtor to be sure you’re ready to drop an offer at a moment’s notice if need-be. Additional Guidelines are frequently being updated in the face of Covid-19, which can make getting a pre-approval more important. You might need to provide additional documentation that requires verification, so it’s imperative that you start this process as soon as possible if you’re thinking about buying a house. Having all your documents ready and pre-approval in hand gives you a proper foundation before your search. Due to increased unemployment and job loss, the mortgage industry as undoubtedly been affected by increased guideline changes and the scare of foreclosures. The importance of a lender who will communicate all of these changes in detail, and what is required from you is paramount to a positive and successful homebuying experience.It requires an enormous amount of coordination, time, and effort in this day and age to just get someone to view a home and subsequently put down an offer, so there’s nothing worse than waiting around on a pre-approval just to have a different offer come through from underneath that led to negotiation or missed opportunity on your dream home. So, if you’re thinking of buying a home, go ahead and get your preapproval beforehand so when you find the right place, there is little blocking your path.

How we have adapted as a local lender

As the premiere local lender for Brevard County, we too have made significant adjustments in order to meet the needs of our clients and partners alike. Fortunately, much of our already established systems and processes in place have been greatly beneficial in these hard times, and have allowed us to operate at near-full capacity in the face of a worldwide pandemic.Some of our processes include:

With all of our departments and employees under one roof, we are quickly able to adapt to any changes or updates with regards to Covid-19 related processes and guidlines.

Conclusion

While there have been some considerable changes within the real-estate industry, by the numbers it is still a great time to buy, sell, or refinance a home. The byproduct of Covid-19 based economic downturn is that interest rates have been set to all-time lows. The federal reserve has made it easier than ever for consumers to borrow by cutting interest rates, and giving banks more lending power. As a result of this, potential homebuyers have the opportunity to secure an incredibly advantageous home loan. Financial experts assume the reduced interest rate will continue until the economy rebounds; however, no one can predict how long rates will remain this low.As state and local governments are hard at work in bringing our society back to normal or as close as possible to it. If you’re thinking about buying, selling, or refinancing, don’t hesitate to reach out to your local lender, Morgan Financial with any concerns you may have.

 We’re still closing deals in record time, and staying in constant communication with our clients, realtor partners and title companies alike. If you have any mortgage questions or need help, please feel free to reach out to us directly at 321-757-3570 or submit an application below.

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