The National Association of Realtors recently completed a Market Recovery Survey aimed at uncovering respondents’ views on how the housing market has changed since COVID-19 and how they anticipate it will recover. We’ve taken some key data points and simplified them into one graphic. Let’s dive in!
While homebuying may have slowed in the early phase of the pandemic, many buyers are feeling a stronger sense of urgency to purchase now when compared with their urgency levels before the pandemic. Why? This increased desire to purchase soon can be attributed to a wave of buyers who put off purchasing in the early phases of the pandemic now really needing to buy, the desire to purchase before a potential second peak, and for many, the extra time spent indoors recently has shown the benefits of having certain home features or extra space.
According to the survey, 24% of buyers report having shifted their preference of location in which they intend to buy as a result of COVID-19. When asked which types of areas homebuyers are most interested in at the moment, suburbs and subdivisions came out on top, followed by rural areas and small towns.
Lastly, there’s good news for landlords — most tenants are still paying their rent on time! While there was a time when landlords and tenants alike were afraid of not being able to make rent payments due to unexpected changes in employment, fortunately, this has not been the norm. 63% of individual landlords report that they have not had any concerns with collecting rent during the pandemic and only 6% report having to terminate leases due to continued payment concerns.
What does all of this mean for you as an investor? Buyers are eager to purchase and purchase soon. If you have a property ready to sell, there are motivated buyers out there and it may not be difficult to secure a sale. The fact that most landlords are not experiencing issues collecting rent or only seeing minor delays is a point of encouragement for landlords and those considering investing in rentals. When considering where to purchase your next investment property, this survey suggests that suburbs or rural areas are the popular destinations of 2020.
At New Western, our agents continue to work tirelessly to do the heavy lifting and match you with deals in your area that meet your investment criteria. We are continuing to acquire new off-market properties and are meeting with investors, either virtually or from a safe physical distance, to bring you more opportunities.