The whole world is in a panic, and there are plenty of reasons why it’s “justifiable”
You know I am an eternal optimist and will always work hard at finding the good in every situation and even I, thinking the way I think, can’t help but have so many “what if’s” in the back of my head.
What if the virus spreads and kills millions of people?What if this causes a world-wide economic collapse?What if it’s all just a big conspiracy so that big pharma makes trillions?What if it’s all a “gift” from North Korea?What if it was Trump or Obama? hahaha.
Here is the one thing I am certain of: I will likely never know, I am not in control of it and that is OK.
It is my belief that it doesn’t matter what happens, I will work my hardest to protect my family and friends and find a way to be happy and thrive.
Now, how does is all reflect and potentially affect the real estate market?
As you are probably aware by now, the economy is MESSED up. Investors are pulling back, CEO’s are stepping down, the stock market has been extremely tumultuous and uncertainty is the word of the day.
As we know, when the economy goes south, so do interest rates! We have already been experiencing some of the lowest rates we have seen in history, yet I anticipate that they will get a tad bit lower and and stay low at least until the new year.
This means that there is an extremely good and unique window of opportunity for home buyers to lock in a low interest rate and a comfortable payment.
This also means that sellers can still get strong offers and also lock in something good for their next home even though it might take a little longer for homes to sell.
Again, I feel that this will be the case for the next 6 to 7 months.
Remember, most people operate and make decision based on fear… those that don’t will be able to take advantage of the current situation.
For those that are worried about the market crashing as it did in 2007-2008, please note that we are not in a situation in which people were buying homes at an overly inflated market without actually qualifying for the home. Just a couple of days ago, the chief economist for the National Association of Realtors said the following:
In regards to the fed lowering rates to zero, I put together a short video explaining what that means and how it affects mortgages.
As always, don’t hesitate to call me if you have any questions or concerns.