Exploring the Home Buying Process Post COVID-19
In 2019, people bought more than five million houses across the United States. However, the way they evaluated and purchased properties was much different than it will be by the end of 2020. In fact, home selling and buying has changed radically since the beginning of COVID-19.
Many of these changes are going to continue well into 2021. Some may even become permanent fixtures in the real estate business. Below are eight specific ways the pandemic has affected how individuals and families discover, consider, and purchase places to live or turn into rental streams.
Browsers Will Be More Open to Virtual Showings
Does it feel like everything has turned virtual? According to national news items, consumers turned to the Internet in droves during the deepest quarantining phases of the global coronavirus spread. People have become so used to doing everything virtually that they’re okay with the idea of jettisoning open hours and in-person home tours.
Of course, homebuyers still want to see their potential investments. That’s where Zoom, Facetime, Microsoft Teams, and other teleconferencing platforms and apps have come to the forefront. Not only can realtors provide concierge client service by remotely walking buyers through properties, but they can do everything in real time. As long as both parties have a decent Internet connection, they can fairly easily examine a property indoors and outside.
Homebuyers Will Look for Mortgage Loans With Online Financial Institutions
Although many local banks have reopened across the nation, customers may still be hesitant to meet face-to-face with loan officers. However, they’re not so squeamish about looking for the best mortgage loan rates online.
Financial institutions that operate mostly via the web know this, of course. They’ve boosted their platforms and made applying easier than ever. Still, home buyers will have to go through the credit gauntlet regardless. Most households are sitting on credit card debt of a little more than $8,000.
While some debt isn’t bad, a large balance on several cards, as well as other credit “red flags,” could make it tough for some people to snag good mortgage loan deals. And that’s where working with a friendlier neighborhood bank or credit union representative might be a better fit or offer other alternatives.
Real Estate Photography Will Step It Up a Notch
If everyone is turning to the Internet to find properties knowing that they might never step foot in the properties, they’ll expect high-quality real estate photography. Though this trend isn’t new to 2020, it’s vital for realtors who want to convert properties and narrow home sales cycles.
Interestingly, the need for better and more appealing real estate home photography could be a huge boon to freelance photographers at all stages of their careers. Those who are versatile and exceptionally good at the craft may even be able to earn a living going into vacant houses and using their photographic magic.
As a huge caveat, though, consumers are probably going to be picky. They’re not going to appreciate it if the photograph is obviously distorted, or they buy a home only to find out it looks nothing like the images they saw online.
Images of Empty Homes Will Be Enhanced by 3D Imaging
An empty home tends to look pretty unexciting in pictures, even if it’s a beautiful property in person. That’s where 3D imagery can come in handy. Some software allows realtors to add everything from furniture to curtains to flooring into their photos of vacant houses.
To be sure, it’s not inexpensive to find and pay for good quality 3D imaging software, or to partner with a company that provides this service. Nevertheless, it’s a smart solution for realtors who work with high-end, discerning homebuyers who need a little visual assistance to make up their minds.
After all, about a third of home buyers want 500 square feet more than they have currently. To see how their furnishings will look in a larger home, they may need a bit of help in the form of 3D imagery.
Sellers Will Have to Keep Their Homes Increasingly Spotless
Everyone has learned from the CDC guidelines that a smart way to avoid contracting any type of cold or flu, including the virus that causes COVID-19, is to practice good hygiene. Therefore, homeowners trying to sell properties will need to pay special attention to how clean their houses are before putting them on the market.
Browsers will expect to walk into a home that smells freshly scrubbed, looks practically pristine, and shows little sign of wear and tear. Sellers may need to spend extra money on these niceties, but they should pay off in stronger bids and shorter times on the market.
Realtors Will Have to Plan for Social Distancing
Traditionally, showing real estate has been a practice that involves a lot of person-to-person contact. Handshakes and even hugs have been par for the course. Now, realtors will have to take special measures to practice social distancing.
How will this work in houses that are cozy or feature cramped spaces? Realtors will have to map out a traffic flow that keeps everyone at least six feet from one another. This will probably affect the ability to have a successful open house whereby several families visit at once. Instead, a staggered, pre-scheduled approach may be a better and healthier solution.
Virtual Closings May Become More of a Standard Practice
Virtual closings aren’t exactly novel because they sometimes happen when buyers move from coast to coast. Most people still undergo face-to-face closings, though. However, many people would feel better buying a home if they knew they didn’t have to be at the closing.
Even if in-person closings are absolutely necessary, only one buying party may need to be at the meeting. With the help of notarized documents, couples and business partners purchasing a home or other property together can appoint one person to attend the closing and sign on everyone else’s behalf.
COVID-19 temporarily disrupted the real estate market, but it didn’t cut it off completely. As cities and states continue the reopening phase, realtors will just have to adjust to different ways of selling and buying homes.
