Here’s what you need to know about the current state of the market and why the forecast is mixed.
To answer a question that seemingly everyone is asking me (for good reason): As of right now, the coronavirus has not yet affected the real estate market. That’s because the market is really being driven by two factors:
1. Low supply. There are just not a lot of houses on the market.
2. Low interest rates. These are creating a lot of demand, and therefore, houses are selling quickly and at very nice, stable prices.
However, for these two market conditions to continue to work, you have to have people employed—that’s the dark cloud hanging over the real estate market right now. From March 15 to March 19, 139,000 claims for unemployment were filed in the state of Ohio alone. Compare that to the week prior, which saw only 4,900 claims. It’s truly a tsunami of unemployment.
If this trend continues, there certainly will be a slowdown in the real estate market. The claims for unemployment are coming much faster, and in much greater volume, than I originally thought. All we can do is take things day by day.
As always, don’t hesitate to call me if you have questions or need help buying or selling. Stay healthy, stay safe.
Since filming, the governor has issued a stay at home order and demand is quickly declining. I will have another update soon.