As we get used to the idea of staying at home for another couple weeks while more businesses gradually re-open, the real estate world is also opening to more activity. The uptick in online searching the last couple weeks reported by Zillow is translating to more listings and sales.
New listings, coming soon listings and pending sales all followed similar upward trends, which was also reflected in showings.
This is evidence for Sellers… if you list it, Buyers will come…
The Mortgage Bankers Association reported that mortgage applications for home purchases saw a 12% uptick last week, after a month of plummeting due to the pandemic. Borrowing costs remain near historical lows and the Federal Reserve voted Wednesday to keep its key benchmark rate near zero… a good incentive for buyers to save while rates are low.
You can feel good about buying not just for yourself, but also for having a positive impact on the recovery of the economy. It shouldn’t come as a surprise that new home construction has the biggest impact.
According to the latest Flash Survey by the National Association of Realtors, members reported that 44% of buyers and 55% of sellers are delaying for a couple months. 64% report that buyers are expecting prices to drop but we haven’t seen that happen yet. Time will tell, but activity is picking up. There is still a shortage of homes for sale, and multiple offers are still happening.
Properties are selling… and closing on time.
Until next week…
Sharlene Hensrud, RE/MAX Results – shensrud@homesmsp.com
