Well we have made it through 4 week now of the COVID-19 effects. The stats have come out for March and they were definitely pointing towards a market that was heating up... That being said since the lockdown has occurred this market is in a different state. The market was showing heightened demand and an up rise of listings seeing multiple offers; these however were prior to a provincial state of emergency. The latter half of the month showed a drastic decline in sales activity, with open houses being forbidden and a readjustment for many as job loss/layoffs have been on the up rise and changes to procedure for all showings as the industry evolves to handle "the new norm".
Real estate has been marked as an "essential service", which is due to some deals happening well before this crisis and causing some clients needing to sell/buy due to the chain that is caused from a typical ebb and flow. Those that do not NEED to sell or purchase have since held off on their plans as the dust settles and are waiting to see the lay of the land.
SO, the big question is where the market is going... While no one has a crystal ball, my opinion is that the prices may have a SLIGHT dip however I do not believe in the fire and brimstone that some are claiming/hoping for. The logic being that those that do not NEED to sell, will either be leaving their homes as the listed price if they are already listed or simply pulling them off the market for the time being until this COVID-19 business blows over. There has been a lot of offers from the various banks for deferment; while it is not the best choice for a homeowner they will likely choose that over foreclosure. Another reason that it is my opinion that there will not be a market crash in Greater Vancouver is due to Real Estate being one of the higher GDP producers in B.C., not protecting it in B.C. would be a grave mistake (as much as I am sure that pains those that have a hate on for the real estate industry).
Right now what to do if you are a soon to be purchaser is get your ducks in a row. Get your pre-approval lined up, your paperwork in order, if you are a first time purchaser educate yourself on how this process works (feel free to reach out to me and I can help you learn how the process works), remember that this COVID-19 issue will pass and then things will return to normal. Maybe not today, maybe not tomorrow, but they will.
If you are a potential seller that is thinking to list your home, take the slower period we are in to do all the prep work. Clean items, tighten loose screws, work in the yard, oil squeaky hinges, re-paint, power wash, there are heaps of things that can be done to prepare for your upcoming listing when the state of emergency lifts and the market resumes.
There are likely many people that are doing the same preparations on both the sales and purchasing side. One could almost consider this a gathering at the start line of the realty world and when COVID-19 lightens up there will likely be a flurry of activity. In the meantime our current state is one of planning and observing as the rules, aid packages and directions seem to change almost daily.
If you have any questions thoughts or need help with your planning. I am here to help and can be reached directly at 604-522-4777 or via E-mail at: email@example.com
Be safe, be kind, we are all in this together.