At the beginning of the year, the United States real estate market looked exceedingly sound. Then COVID-19 backhanded the world, and now everything is up in the air. But as that old proverb goes, a crisis is just an opportunity in disguise.
Also, there’s a high likelihood of a total rebound once the novel coronavirus lockdown is lifted in the United States, and globally by extension. So don’t lose all hope. If you’re savvy and have assets that can be turned into a property, now might be a wise time to buy. The future isn’t set, but keeping the whole economy on lockdown isn’t something that can be done forever.
There Are Already Signs The Market Is Slowing
Even though the lockdown imposed in March has only been in effect for a few weeks, there are already clear signs that the real estate market is declining in value, with 15.4% of active listings across the U.S. reducing their listing prices in March.
Also, owing to the recent stimulus bill and things like deferred taxation, purchasing a property for the purpose of renting it out may not be your wisest move. That trend has a likelihood of extending for a few months. Be wary and cognizant of this reality as you design your profit acquisition plan.
Property Values Could Drop Extensively, Making Purchase Ideal
There’s always a silver lining. Though it’s evident property values are falling for the time being, this means you can buy up some top-tier homes or business buildings at more affordable prices.
Boom/Bust Fluctuation In Big Cities: New York And L.A.
The bigger the city, the more dramatic property value fluctuations will be. New York is a buyer’s market right now, partially because it’s been one of the hardest hit cities in America from this virus.
Los Angeles is in a very similar position, as is San Francisco, Houston, Seattle, and many other big cities where the virus is having a definite impact. This means several things. One, small communities are going to see an influx of city people, and they may see a slight spike in property value as a result—depending on the community.
New York and Los Angeles will also have quality properties available at a discount. This had to happen eventually; both cities have been in massive booms for many years. If you’ve got enough resources or credit to acquire a property in these cities today, that represents a very wise choice.
Getting A Deal On A Property
If you’re going to purchase a new home or professional building in these trying times, look into options such as UMoveFree to save you time and money as you transport furniture items from one home or professional space to the next.
When you’re saving money in one area, you might as well save it in another! And 2020 is an excellent year to save money on property if you’re in a position to buy. If you’re in a position to sell, you may want to wait until the smoke clears pertaining to the COVID-19 crisis before you seriously pursue selling.
Things can change, and this could just be a seasonal blip that resolves itself. It could also be a permanent change of state. One thing is sure: things are changing, and the current crisis is a big part of that.
