Your home is an emotional investment that involves years of effort. Selling the same property requires careful thought because you’ll have to move to a new place. You want to sell by a certain date and for a specific price to prepare for the next phase in life. In the earlier days of March, people were planning real estate transactions. Buyers were preparing for the spring season, and the sellers were finalizing their plans.
It’s history that Covid-19 halted all our plans. It seemed like an old-time when you used to arrange open house events for selling your house. Although, in many states, restrictions are being lifted, still, you need to be cautious. Other than “social-distancing” issues, Covid-19 is bringing us closer to a financial recession. The US economy was already on the brink of a disaster. It seems like the pandemic is speeding up the entire process resulting in job loss for millions of people. In some industries, the loss of jobs can be a permanent change.
Concerned About Pricing?
The last recession was directly related to the housing market. Homeowners are concerned about property prices because the market is responding to current situations. The circumstances vary from area to area, but if you look closely, prices haven’t changed so far. One reason is that fewer transactions are happening. The small number of sales can’t show you the big picture.
For home sellers, the inventory is favorable. The lack of inventory means home prices will go up. Banks have reduced interest rates. That means more people can afford the mortgage loan to buy your home. On the same note, the economy is a real problem for the housing market. Millions of people have lost their jobs, and we’re still collecting data. Without a stable income, individuals can’t afford a house, no matter how low the interest rate is.
Getting a Mortgage is Harder
Banks are aware of previous mistakes. You won’t see them granting “subprime mortgages.” On paper, FHA hasn’t changed their lending requirements, but you can’t get a mortgage with a minimum credit score and down payment. Aim for a credit score of 700 and a down payment of at least 20% if you want to get approved. The strict lending criteria make it harder to buy a property. Looking from the other angle, it would be challenging to sell because fewer buyers would accomplish their homebuying goals.
Sell Your Home for a Fair Price
As a homeowner, you’re probably facing two problems. You need to sell your home at the right price. You want a fair price and sell the house before it’s too late. For that to happen, you need to capture the attention of prospective buyers who are avoiding physical contact. People are only looking at houses that inspire. A couple will search online, maybe, they’ll browse Youtube to find attractive properties, and if anything looks inspiring, they’ll call the owner to arrange an appointment. You can’t sell if your home is not attractive or you don’t have enough budget for marketing your property (drone photography, curb appeal improvement…).
To get the right price, you need to understand the fair market value of your property. That’s the price a buyer is willing to pay, or you can check out the comparable sales in the area to see what’s happening in the market. The rule of the thumb is to sell your home if you’re getting a fair price. You can choose to sell your home for a cash price regardless of the condition.
At Fast Home Offer Utah, we are buying houses despite the Covid-19. We buy houses in Utah, and we can buy yours for a fair cash price. If you’re concerned about market prices, timing, or you want to sell fast; you can contact us for a free consultation. We’ll guide you about your options, and we can pay cash for your home in as little as 5 days.