National Real Estate Market Update | Dec 2020
What’s happening in Real Estate across the Nation?
How is the economy impacting the Real Estate market?
Should you take advantage of it being a Seller’s Market and sell your home now or should you wait it out and sell your home later?
If you’ve been wondering any of these things, check out this video where we discuss factors that have been influencing the market over the past year. We compare our current situation to that of previous challenging economic times. There are some differences that are good news for homeowners.
If you’re curious what your home is worth in the 2020 Real Estate Market, visit http://bit.ly/38qh6z1 We will email you a free Market Analysis Report for your home.
I𝑓 𝑦𝑜𝑢 ℎ𝑎𝑣𝑒 𝑎𝑛𝑦 𝑟𝑒𝑎𝑙 𝑒𝑠𝑡𝑎𝑡𝑒 𝑞𝑢𝑒𝑠𝑡𝑖𝑜𝑛𝑠, 𝑓𝑒𝑒𝑙 𝑓𝑟𝑒𝑒 𝑡𝑜 𝑐𝑎𝑙𝑙/𝑡𝑒𝑥𝑡 𝑢𝑠 𝑎𝑛𝑦 𝑡𝑖𝑚𝑒! 𝑊𝑒’𝑟𝑒 𝑎𝑙𝑤𝑎𝑦𝑠 ℎ𝑒𝑟𝑒 𝑡𝑜 ℎ𝑒𝑙𝑝!
Steve 📲 (c) 206-769-9577 📧stevehill@windermere.com
Sandra 📲 (c) 206-271-7100 📧sbrenner@windermere.com
How does what’s happening in our overall economy have an impact on the real estate market? Obviously, one would think that with all of this craziness, something’s gotta give, right? Well, I completely understand your concern and it’s valid. It can be really scary out there. Some people may have to sell their home and don’t have a choice because of a job transfer or a loss. And some may just be wondering if they should hold on and see if the market continues to go up so that they can get a better return on their investment. While others may feel like they need to sell now so that they can lock in their equity just in case the market goes down. There are certain factors and variables that impact the housing market, and those factors can be either positive or negative. Hi, everyone, I’m Sandra Brenner with Steve Hill of the BrennerHill Team at Windermere.
Unemployment is one contributing factor. It was lower pre-pandemic and then spiked pretty high from April to July hovering between 8 and 14%, but it has been coming down month after month since April, which is a positive sign. Obviously, we’re all hoping it keeps coming down and experts are projecting that it will continue to drop. There have been several recessions in the US throughout history, but if you look historically at the times during recessions where the number of months that where unemployment was greater than or equal to 9%, the recession of 2020 is the lowest. It puts the unemployment perspective where we are right now, nowhere near it was in the past. The Great Depression had 108 months, the Great Recession had 30 months, the 1980’s Oil Recession had 19 months, and in 2020 we’ve only had 4 months where the unemployment rate was greater than or equal to 9%.
More good news. The number of people in active forbearance is decreasing. It’s continued to come down since May. This means that more people are paying their mortgages as they’re getting their jobs back. Many people are also wondering what will happen due to the election. I would recommend looking at a few factors. One is inventory. Back in 2008, the inventory levels were growing and we were starting to move into a buyers’ market and home prices were depreciating because there was so much supply. Today, inventory levels are low, making it a sellers’ market and prices are appreciating in some price points and stable in others. Also right now, the percentage of equity that homeowners have is really strong. John Burns Consulting tells us that 42.1% of homes owned in the US are owned free and clear. They have no mortgage. And that 90% of homes have at least 10% equity which indicates that fewer homes are at risk of foreclosure.
So, there is a lot of data that points to a positive forecast for the housing market in the future. Feel free to reach out to us for a hassle-free strategy session. And don’t worry, there’s never any pressure or obligation in meeting with us. We look forward to hearing from you. We are Steve and Sandra, elevated service, elevated results.
