Virtual tours are becoming a more popular tool for showing homes. In fact, once the stay-at-home orders are lifted and social distancing measures are relaxed, it appears open houses, the traditional way of marketing a home, may lose their luster and may even go by the wayside, as reflected by findings from a new realtor.com survey.
An April 5 recent consumer survey of 1,300 consumers conducted by realtor.com and Toluna Insights that highlights COVID-19's impact on buyers and sellers found consumers, especially younger demographics, want virtual tours and are warming to the idea of buying a home without visiting the home in person. In fact, with the right technology, nearly a quarter of consumers surveyed said they would be open to buying a home without seeing it in person first.
Although majority of respondents still want to see a home in person before making a purchase, that sentiment is shifting. With access to accurate listing data, detailed photos, virtual and live video tours, 24 percent of people surveyed said they would be willing to buy a home without seeing it in person and 30 percent would be willing to rent one. Those numbers were slightly higher for younger demographics, of whom 29 percent would be willing to buy and 34 percent willing to rent. Further, 21 percent of people agree that COVID-19 has made them more likely to move into a home sight unseen.
With open houses and broker tours suspended, virtual tours, listing and neighborhood information are critical for buying a home during COVID-19. "Our Realtors are seeking ways to help their clients safely complete transactions and to meet the high demand for homes in our region through tours, video chats and an option to schedule a virtual home tour," said Mary Kay Groth, president of the Silicon Valley Association of Realtors.
At a recent district virtual meeting of the Silicon Valley Association of Realtors, Dave Wetzel, CEO of MLSListings, informed Realtors that MLSListings has added 3D, drone and virtual tour fields. The MLS only shares listings on virtual tours with its subscribers. Wetzel also noted that the MLS's public website, mlslistings.com, is seeing consumer usage starting to rise, reversing the downward trend in traffic when the SIP orders were first imposed. In fact, during the previous week, Wetzel said the website generated 295,081 page views.
"It shows that we're all sheltered in place, but so are your clients and they are all online, so it is important to have those virtual tools," Wetzel told Realtors.
Michael Dreyfus, managing broker and owner of Golden Gate Sotheby's International Realty in Palo Alto, told Silicon Valley Realtors at another SILVAR district virtual meeting last week that he expects real estate will change after the SIP orders are lifted. "Open houses may go away, the showing of homes will change with the implementation of safer, cleaner, more sanitary ways," said Dreyfus.
This may likely happen as sellers surveyed by realtor.com appear wary of open houses and more open to listing photos and virtual tours. When asked about selling a home within the next six months, respondents showed a slight discomfort toward holding open houses, but were still generally open to allowing their agent and some shoppers inside. The survey found potential sellers are most comfortable with allowing their agent in the home to take photos (56 percent); allowing their agent in the home to give a virtual tour (55 percent); having an agent walk a buyer through the home in person (47 percent); having an agent walk a buyer through the home via video chat (44 percent); and holding an open house (35 percent).
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
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