Impact Of The Coronavirus On The U.S. Housing Market

By
Real Estate Agent with Kona Home Team (luva llc) RS 62947

Lance Owens and KCM

Aloha, Lance Owens (RS) with KonaHomeTeam (LUVA llc), as you know we partner with some great real estate companies out there to keep us up to date on the market,  while we work the market, I just got off of a live update (3/5/2020)  on the situation and wanted to share this with you. 

The Coronavirus (COVID-19) has caused massive global uncertainty, including a U.S. stock market correction no one could have seen coming. While much of the news has been about the effect on various markets, let’s also acknowledge the true impact it continues to have on lives and families around the world.

With all this uncertainty, how do you make powerful and confident decisions in regard to your real estate plans?

The National Association of Realtors (NAR) anticipates:

“At the very least, the coronavirus could cause some people to put home sales on hold."

While this is an understandable approach, it is important to balance that with how it may end up costing you in the long run. If you’re considering buying or selling a home, it is key to educate yourself so that you can take thoughtful and intentional next steps for your future.

For example, when there’s fear in the world, we see lower mortgage interest rates as investors flee stocks for the safety of U.S. bonds. This connection should be considered when making real estate decisions.

According to the National Association of Home Builders (NAHB):

“The Fed’s action was expected but perhaps not to this degree and timing. And the policy change was consistent with recent declines for interest rates in the bond market. These declines should push mortgage interest rates closer to a low 3% average for the 30-year fixed rate mortgage.”

This is exactly what we’re experiencing right now as mortgage interest rates hover at the lowest levels in the history of the housing market. (interesting take away from the live video a few minutes ago "George Washington" didn't even see interest rates this low!)

BOTTOM LINE

The full impact of the Coronavirus is still not yet known. It is in times like these that working with an informed and educated real estate professional can make all the difference in the world.

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Aloha, and have a great day 

Lance Owens (RS)

(808) 936-8383

Lance@KonaHomeTeam.com

www.KonaHomeTeam.com

LUVA Real Estate 

75-240 Nani Kailua Dr #8 , Kailua Kona, HI. 96740 (Pines Plaza

Comments (3)

Eva B. Liland Century 21 Doug Anderson
Century 21 Doug Anderson - Lancaster, CA
Glad to be of Service 661-714-1643

Yes, the Corona virus sure has made an impact and what it is capable of doing is for us to figure out. As you said, interest rates has fallen and that is good news if you are thinking of buying or trade up.

Mar 05, 2020 02:38 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Do you want Lily now until about three months down the road. Hang in there, world!

Mar 21, 2020 10:09 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Almost everything has a silver when there’s opposite extremes. Hang in there. Eva!

Mar 21, 2020 10:11 PM