Author: The Caton Team - Realtors

It’s a hot topic!  So I’m sharing more info on….

Is It Safe To House Hunt During the Coronavirus Crisis? This Is What You Must Know

But before I share this – safety is OUR top priority!  SIP is no joke and should be respected not just for you – but for your neighbor.  Our community is awesome because of the people in it – let’s look out for another – thank you – Sabrina 

By Margaret Heidenry | Apr 7, 2020

In the best of times, shopping for a house is a complicated and involved process—a big-ticket proposition involving lots of shopping around and meeting a ton of people so you’re 100% sure you’ve picked the right place, at the right price. But, of course, these are not the best of times.

Now that the coronavirus pandemic has people across the country hunkering down at home to lower their exposure levels, even the most determined home buyer might be wondering: Is it safe to shop for a house right now?

We’re here to help you navigate this time of uncertainty and instability with this second installment of our new series, “Home Buying in the Age of Coronavirus.”

While risk is a personal decision, the real estate industry is adapting to provide ways to go about home buying safely during the coronavirus pandemic. You can now do many things at a safe social distance, or even remotely, when it comes to buying a home that you may not have considered doing in the past.

Here are all the ways in-person checkpoints to buying a home have changed to keep you safe during the coronavirus pandemic.

Finding the right real estate agent

When it comes to buying a home, pairing up with the right agent is always key to finding your perfect property. But today, you need one who is tech-savvy and comfortable conducting meetings and business online.  (The Caton Team is tech savey) 

“Zoom, Google Hangouts, and other tools allow buyers to have consultations they would normally have in person with me from the comfort of their home,” says agent Maggie Wells of Keller Williams in Greater Lexington, KY.

To find an agent to further help you remotely, ask candidates if they offer virtual consultations and home tours. They should also be able to help you with e-signature apps so you can send and receive documents to sign digitally through email. (The Caton Team went paperless ages ago and use DocUsign to sign our contracts online – safely) 

“If an agent doesn’t offer these services yet, I highly recommend finding an agent who is [comfortable] working with technology,” adds Wells. (Look no further – The Caton Team has you covered.)

Virtual home tours

Crowded open houses with a plate of cookies for everyone to grab are a thing of the past—at least for now. Instead, you’ve got virtual open houses and video tours.

There are several ways to virtually tour a home. Along with photos, many listings were already starting to incorporate videos or virtual reality tours. (For example, the listing for this house in Ponte Vedra Beach, FL, features a VR icon you can click on, which will take you to a video.) You’ll be able to tour the home, room by room, without physically stepping onto the property.  

“The power of video cannot be underestimated at a time like this,” says Cara Ameer, an agent with Coldwell Banker who is licensed in California and Florida.

However, these videos are filmed and edited, so you may not be able to see every nook and cranny. If you want to do a deeper dive, many agents will accommodate you.

“I’ve been giving live FaceTime tours of homes,” says Wells. “This provides buyers a personalized experience of the property without having to leave their home.”

Granted, we’re not necessarily saying you should buy a house without seeing it in person, unless there’s no choice in the matter. Nonetheless, it’s smart to do what you can remotely to whittle down your options so you can choose what’s worth an in-person visit, now or later.

Also keep in mind that in late March, the U.S. Department of Homeland Security declared residential real estate sales an “essential service,” although certain state officials, including New York Gov. Andrew Cuomo, have explicitly forbidden home showings. And even if they are allowed, agents, home sellers, and buyers must all be willing to make them happen.

When in doubt, check with your agent and local government for more information, and know that things could change as this pandemic progresses.

Remote mortgage pre-approval

“One smart way to stay safe right now is to work with a loan officer who is set up to work remotely,” says Andrina Valdes, executive sales leader and chief operating officer of Cornerstone Home Lending in San Antonio.  (Our lending teams are ready to go – and online.)

Some lenders had already made the entire mortgage process digital long before social distancing was needed. And now, many more have jumped on board out of necessity.

The first step is to interview a few loan officers over the phone or by video chat. Since mortgage interest rates are all over the map these days, it’s extremely important to shop around and compare what they’re offering—and make sure they’re comfortable conducting all steps of the transaction online.

Ideally you want a lender that allows you to track your loan progress, view educational resources, and stay in touch, all without leaving the house.

In order to get pre-approved for a loan, the lender will need to review your income, debt, credit history, and other factors—and you’ll need to submit paperwork verifying all of the above.

Luckily, most of this paperwork should be available online, such as pay stubs, tax returns, and bank statements. If you’re unsure how to access them, a tech-savvy lender should be able to help. (Here’s more on the paperwork needed for mortgage pre-approval, and why getting pre-approved matters.)

Check out realtor.com/mortgage to find local lenders and to figure out how much home you can afford.

Remote home inspections

“We are offering clients the option of doing a remote inspection, where we inspect the house alone and review the findings with them via a videoconference,” says certified home Inspector Welmoed Sisson of Inspections by Bob in Maryland and author of “101 Things You Don’t Want in Your Home.”

At a remote home inspection, inspectors take a lot more pictures than they might have in the past so clients can get a good idea of where the issues are.

“We also take videos if the issue is something moving that shouldn’t, such as a loose handrail or wobbly toilet,” adds Sisson. “While we’re in the house, we use gloves, wash our hands, and wipe down things we touch with antiseptic cloths.”

Once the report is completed, Sisson sets up a video call and emails clients PDFs of background information about why inspectors test what they do.

“Through screen sharing, I go through a slideshow of the pictures, answering questions as we go,” says Sisson.  (Some inspection companies will inspect a vacant home with precautions.)

Virtual home appraisals

Home appraisals required by a lender generally include a site visit, which is not possible in some parts of the country where this is not considered an essential service. Luckily, appraisals pertain only to those getting loans, so cash buyers can skip this process entirely. But if you are getting a mortgage, fear not.

“In the last few weeks, we’ve seen an influx of virtual appraisals done via video as well as ‘desktop appraising,’ where the appraiser reviews available public and private data,” says Nikita Idiri, a licensed real estate salesperson at New York’s Elegran.

The appraiser then uses comparable properties for the reports. While these methods may not be to the penny in terms of value, they are relatively accurate and allow lenders to continue operating.

Remote home closings

In-person home closings—where all parties come together to sign contracts, swap keys, and shake hands—are, for the most part, not happening right now (especially the shaking hands part). However, most closings require some face-to-face interaction, since people have to sign documents and notaries need to stamp them in person.

So while home buyers will probably have to show up on closing day, it will look far different from the past.

Lynn “Ginger” Ruckman, real estate associate broker at Julia B. Fee Sotheby’s International Realty in Bronxville, NY, recently closed on a home at the buyer’s attorney’s office. But instead of everyone crowding into a room for hours, parties sat in separate rooms to finalize the deal.

“The sellers and I were in the reception area, and the buyers were in the conference room,” says Ruckman. “The title company shuffled papers back and forth, and the entire process took 23 minutes.”

Another agent in Ruckman’s office had a closing where all parties showed up on the street where one of the attorneys lived.

“Papers were delivered to the appropriate cars for signatures,” explains Ruckman. “Everyone had their own pen, and the intermediary wore gloves. It got done without a hitch.”

And soon closings may be entirely remote, with states such as Georgia announcing that, as of March 31, video closings are temporarily permissible.

“The approval just happened, so nobody has done it yet,” says Georgia attorney Ken Luther. “But this is my understanding of how it would work: The closing attorney would send links to all necessary parties for a secure videoconference. All parties would sign electronically, and the transaction would be witnessed and notarized by conference participants.”

Real Estate and we Realtors are all about adapting – Real Estate has always changed and this is no difference.  Home is where the heart is and now more than ever home is so important.  The Caton Team is here to help – remotely and safely – How Can The Caton Team Help You?

I read this article 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?

The Caton Team Testimonials | The Caton Team Blog – The Real Estate Beat | TheCatonTeam.com | Facebook | Instagram | HomeSnap | Pintrest | LinkedIN Sabrina | LinkedIN Susan

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.

Happy Monday Friends – I spent the day chatting with my clients and it was divine to hear their voices!!!!  As I was logging out I saw this article and had to rapid share as this was THE topic on our minds.  We do hope you’re home and safe – together we’ll get through this and flatten the curve.

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Should I Buy a House During the Coronavirus Crisis? An Essential Guide

By Margaret Heidenry | Apr 6, 2020

Spring is upon us, which typically involves a big peak of home buyers checking out properties, negotiating, and closing on new places. But the coronavirus outbreak—with its quarantine measures and economic uncertainties—has many a real estate shopper wondering: Should I buy a home now, or wait?

We’re here to help you navigate this confusing new normal with this series, “Home Buying in the Age of Coronavirus.”

This first installment aims to help you figure out whether you can—and should—shop for a home right now, or hold off until this crisis blows over. Read on for some honest answers that will help you decide what to do.

The impact of the coronavirus on the housing market

So what state is the housing market in right now, anyway? While that depends on how bad an outbreak an area is suffering, most markets are feeling some sort of hit.

“The coronavirus is leading to fewer home buyers searching in the marketplace, as well as some listings being delayed,” says Lawrence Yun, chief economist for the National Association of Realtors®.

The latest NAR Flash Survey: Economic Pulse, conducted on March 16 and 17, found that 48% of real estate agents have noticed a decrease in buyer interest attributable to the coronavirus outbreak.

However, nearly an equal number of members (45%) said that they believe lower-than-average mortgage rates are tempting buyers to shop around anyway, without any significant overall change in buyer behavior.

For those who are determined to buy a home, there is opportunity out there.

“This is the best buyer’s market I have ever seen in my career,” says Ryan Serhant of Nest Seekers and Bravo’s “Million Dollar Listing New York.”

“Sellers are nervous, there’s excess supply, and interest rates have been hovering at historic lows. You can own a home for less per month than you can rent an equivalent property in most areas,” he adds.

With fewer home buyers out there looking, you have less competition in your way.

“Unmotivated and uncommitted buyers have dropped off,” adds Maggie Wells, a real estate professional in Lexington, KY. “Less competition is a huge leg up in this market.”

The window of opportunity for buyers won’t stay open wide forever. NAR data shows that there was a housing shortage prior to the outbreak.

“The temporary softening of the real estate market will likely be followed by a strong rebound, once the quarantine is lifted,” says Yun.

This pent-up demand could eventually push home prices higher. That could mean that the time to strike for bargains is now.

Bottom line: If social distancing has made you realize you don’t love the place where you’re currently spending most of your time, it’s a good time to consider buying.

How the housing industry has adapted to keep buyers safe

Although it’s a scary time to be out and about checking out real estate, it is still possible to do so and stay relatively safe. The industry has rapidly adapted, introducing approaches that minimize exposure to the virus.

For instance, many agents are now working remotely and conducting most of their business virtually.

“Buyer and seller consultations have transitioned to virtual meetings with success,” says Kate Ziegler, a real estate agent with Arborview Realty in Boston.

While open houses or showings may not be easy to arrange because of quarantine or other safety issues, real estate listings have stepped up to the plate by offering virtual tours.

“We can send clients videos of whatever properties they want to see, or we are happy to have our agents FaceTime from a property,” says Leslie Turner of Maison Real Estate in Charleston, SC.

While those who are immunocompromised may want to stay home, if you’re otherwise healthy, it is also still possible to see some homes in person in some parts of the country. You’ll want to take some precautions before you go.

“Hand sanitizer at the door has become the norm, as well as shoe covers, even on sunny days,” says Ziegler.

During the tour, it’s also now customary for the listing agent to open all doors, so that home buyers can explore closets and other enclosed spaces without touching anything as they look.

If you do make an offer that’s accepted and you head to the closing table, real estate agents and attorneys are also adapting to remote closings, to keep you out of a crowded conference room. (We’ll provide more information about virtual tours and remote closings in later installments.)

How to weigh economic concerns

Coronavirus aside, anyone thinking about buying a home is also likely to be weighing whether it’s a smart idea when the economy is in a downward spiral. But in the same way you can’t easily time a stock purchase to make a profit, you can’t easily time a home purchase, either.

“Recession or not, it’s impossible to time the market, whether for buying stock or buying real estate,” says Roger Ma, a New York–based financial planner and owner of lifelaidout.

Just keep in mind that while current market conditions offer an incredible opportunity for home buyers to lock in historically low interest rates for a mortgage, rates are actually going up quickly, because so many people are refinancing.

If you wait too long to buy, you may miss the money-saving boat. So make sure to read up on the latest mortgage rates first.

Besides mortgage rates, home buyers are probably wondering about the stability of their income, as fear of layoffs loom.

“We are entering uncharted territory,” says Michael Zschunke, a real estate agent in Scottsdale, AZ.

On the flip side, putting a property under contract now and locking in a low interest rate gives a buyer some control at a time of relative uncertainty, adds Turner.

The takeaway from all this? It matters more than ever to get pre-approved for a mortgage, to calculate your home-buying budget accurately.

If you’re worried about layoffs, you should buy a home well under budget so you have enough money left over for closing costs, home maintenance, and a rainy day fund. Now is the time to crunch your numbers more carefully than ever before. Below is what you need to consider.

• Research ways to reduce your closing costs. For instance, many loans allow sellers to contribute up to 6% of the sale price to the buyer as a closing-cost credit.
• Figure out how much you need to set aside for yearly home maintenance and repairs. A smart budget is to have between 1% and 4% of the purchase price of your home.
• Be sure to put aside an emergency nest egg for unexpected repairs. On average, it’s a good idea to sock away 1% to 3% of a home’s value in cash reserves.

In our next installment, we’ll explore all the ways to conduct a house hunt safely. Stay tuned! In the meantime, here’s more on buying a home during a recession.

I read this article 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?

The Caton Team Testimonials | The Caton Team Blog – The Real Estate Beat | TheCatonTeam.com | Facebook | Instagram | HomeSnap | Pintrest | LinkedIN Sabrina | LinkedIN Susan

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.