The worldwide pandemic caused by the Coronavirus has hugely impacted not only the way we live our day to day lives, but also thrown the economy and financial markets into turmoil.
People are hesitant to make any big changes as they face the uncertainty of what's to come next.
Buying or selling a home is one big change some aren't sure of. Many people are asking, "What does a real estate Covid-19 market look like?"
Is It Wise to Buy in a Real Estate Covid-19 Market?
It's a reasonable question. Buying property is one of, if not the biggest purchase most people will make in their lives.
Fortunately, the demand for housing in the future may not be hugely affected. Housing is generally considered to be a safe investment, even in times of chaos. People will always need shelter.
What Changes Can We Expect?
There are bound to be some changes from a pandemic affecting almost every aspect of life. Only time will tell the extent of the changes, but some things are already starting to be noticeable.
Leaving Expensive Cities
One thing realtors are noticing these days is a shift towards moving outside of the city. More people working from home may have caused a shift in what buyers are looking for.
This shift was beginning to be seen before Covid-19 but is now gathering speed. Folks are seeing what life can be like without a commute, and they're searching for larger spaces to incorporate home offices.
Commercial Real Estate
Commercial real estate is taking a hit. People avoiding physical stores for safety have begun to see just how much they can get delivered from an online retailer.
While retail stores are looking less appealing, there could be a growing need for warehouses and storage space.
The need for office space may decline drastically in the future, as businesses see their employees being just as productive from home as they are in their cubicles.
A permanent shift to working from home could potentially save them some substantial money.
How Big Will These Changes Be?
There is so much that we don't know yet that it's hard to definitively tell what is going to happen with the real estate market.
If countries can get the pandemic under control relatively quickly, there most likely won't be any drastic changes to the real estate market, long-term.
If the issues arising from Covid-19 end up being more permanent, and behaviors begin to change drastically, we may see some much bigger changes in the market.
The Coronavirus may simply accelerate some of the changes that have already begun to take place.
If prices fall, it could be a good idea to take advantage of the opportunity if you're in a good place to do so. Finding a realtor could be the right idea now.
Real estate is an investment that usually pays off in the long-term, even in this real estate Covid-19 market.