Springtime is the most popular time for homeowners to list their homes for sale. However, given the health crisis (and financial crisis for many), you may be wondering if it's still a good idea to sell your home this spring. What are the pros and possible pitfalls of selling your home during the COVID outbreak?
Here are two sides to that coin.
Mortgage rates are currently competitive, and many experts believe they'll hover on the low end of the spectrum. With rates so low, and the uncertainty of when they will rise again, homebuyers will be looking to capitalize on this opportunity. This puts your listing in a great position, and finding a buyer despite the challenges should still be easy. Looking at it from a mortgage rate perspective, it's a green light for selling your home this spring.
There's talk that we are heading towards a recession and for a good reason: COVID-19. However, we're are not currently in that position, so that means that consumers are likely still feeling confident about making large purchases. Once the economy turns in three, six, or 12 months from now, homebuyer's attitudes are likely to change. Listing your home during a recession could mean you will get less than the asking price you want.
On the other hand, there's good reason to wait on listing your home this spring. With the nation practicing heighten caution for personal health and the guidelines from the Centers for Disease Control (CDC) to socially distance to minimize exposure to germs, having people come to your home for a showing is not a wise idea.
Fortunately, there are alternatives to having a traditional open house. Virtual showcases were already popular, and many real estate agents offer this feature. Another option is to vacate the home while your real estate agent shows it to a prospective buyer. But that is not always feasible and may not be something that all the participants are comfortable with.
Without a doubt, selling a home this spring given our current circumstances is challenging, and unlike any other real estate environment, we've experienced before. However, much like other markets, home buying and selling are always occurring. Are you selling your home to buy another? Contact us to lock in your rate too!