COVID-19 and Real Estate – What’s Happening Now

I know there are a lot of questions and concerns in these unprecedented times. I’m talking to folks every day who are curious about what I’m seeing in the Front Range real estate market. Well, just like the news, I will tell you things are changing daily (if not hourly). Nothing is business as usual currently, but as a Realtor I’m here to help you make the best decision for you when it comes to your real estate investments. I’m staying on top of statistics, news and talking with fellow Realtors. Also keeping in touch with industry partners (lenders, title companies and inspectors). As always, we work together in the best interest of our clients.

As we enter into week two of statewide stay-at-home orders we are definitely seeing a slowdown in showings (as you would expect). This chart gives you a sense of buyer activity in Colorado. Though in person showings are down, we are seeing an increas in the number of online home views and virtual tours. I’m encouraging all my buyers to drive by each property they might be interested in and spend time looking at the details online. Keep everyone as safe as possible. If it seems like the right fit then we can get into the home to see it in person (last resort in our current world climate).

Showing Activity Has Slowed Down Significantly in the last two weeks

What I predict will happen is a very busy summer (or fall if all of this takes longer than we think to normalize) market. There is a lot of pent-up demand from buyers looking to make a move. Spring inventory never ramped up before COVID-19 hit and many sellers are now holding off on listing their homes. They do want to sell though. The time will come. I am even seeing another run on properties selling off market to reduce the exposure to buyers and sellers. We’re all in this together and I’m here to support you.

Interest rates remain very low and I foresee property values holding steady. Up until this week we were seeing many properties with multiple offers and properties selling over list price. I wouldn’t be surprised if we see more of that as market activity ramps back up (hopefully summer or fall) and folks feel it is once again safe to be out and about. Check out the graph below for the 10 year trend on 30-year fixed rate mortgages. Things are super volatile right now (as far as rates adjusting daily) but the best thing you can do if you are thinking of buying is to get an application in with a lender so that you are ready to move on a property as soon as you decide to start looking. Being pre-approved will be more important than ever so you can compete.

Interest rates are still historically low

I’ve really enjoyed the extra time to connect with family, friends and clients. If you ever want to talk about anything (not just real estate) know I’m here for you. Give me a call. The most important thing right now is that we support each other in every way possible.

“Alone we can do so little; together we can do so much.” – Helen Keller

Be well.

Michelle