- The COVID-19 pandemic is causing an economic slowdown.
- The good news is, home values actually increased in 3 of the last 5 U.S. recessions and decreased by less than 2% in the 4th.
- All things considered, an economic slowdown does not equal a housing crisis, and this will not be a repeat of 2008.
- Prepare for delays
- Write in contingencies to protect yourself
- Be Patient – all services are effected, title and escrow, lenders, appraisals, inspectors
This economic response is very different from our 2009 experience. Our last economic melt down, there was a glutton of homes for sale and due to loan defaults, very strict lending that cut out many purchasers from moving forward. It slowed down our recovery.
This time a round, we’ve been in a housing shortage and the big differences, this is plenty of affordable loan options available.
When we see a stock market crash, we often see a real estate boom or in this case – perhaps a real estate maintenance – as people divert money and investments from a risky stock market to an investment they can live in – Real Estate – historically real estate always appreciates and you’ll come out head in the long run.
Will there be a price impact – we’d be a fool to think it wouldn’t – but I think that is all relative. Buyers have always set the price – so as they are cautious prices will reflect that – however we all need a place to live and I think we’ll see a lot of people – who have been waiting for an adjustment ready to take advantage of low rates and possibly slower demand. I know Warren Buffet buys in a down market – and he knows a thing or two.
The bottom line – don’t freak out. If you have your home and don’t need to move – don’t fret. If you are selling or were thinking of selling, hold tight. RIght now the market is affected by the shelter in place but we were expecting a great Spring Season and now Fall!
We are all in this together –
Let The Caton Team know how we can be of service.
I wrote this article and added info from here
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true. How can The Caton Team help you?
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – would’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Call | Text | Sabrina 650.799.4333 | Susan 650.796.0654
Email | Info@TheCatonTeam.com
The Caton Team – Susan & Sabrina
A Family of Realtors
Effective. Efficient. Responsive.
What can we do for you?
Want Real Estate Info on the Go? Download our FREE Real Estate App: Mobile Real Estate by The Caton Team
Berkshire Hathaway HomeServices – Drysdale Properties
DRE # |Sabrina 01413526 | Susan 01238225 | Team 70000218 |Office 01499008
The Caton Team does not receive compensation for any posts. Information is deemed reliable but not guaranteed. Third party information not verified.