A new survey from the National Association of Realtors shows as many states start to reopen their economies, more than nine in 10 Realtor members believe their real estate market is in the process of recovering. Even with reports that coronavirus cases are surging again in some states, Realtors feel they are better prepared in their business practices to serve their clients.
According to NAR's 2020 Market Recovery Survey, 18 percent of Realtors polled reported that their buyers never left the market at all, and 9 percent said all of their buyers have already returned to the market. In terms of seller activity, 89 percent of Realtors surveyed said a share of their clients have either returned to the market or never delisted their property (24 percent).
"Many potential buyers and home sellers were kept at bay in the initial stages of the coronavirus outbreak, but Realtors nationwide were able to quickly pivot, embracing technology and business practices to ensure the home buying process continued in a safe manner," said Lawrence Yun, NAR's chief economist.
Fifty-four percent of Realtors working with buyers said their clients' purchase timeline remained the same, while 27 percent indicated their clients now express more urgency about buying a home. Two-thirds of Realtors working with sellers said their clients' timeline to sell have remained the same, while 23 percent said their sellers feel more urgency to sell their property.
"After being home for months on end - in a home they already wanted to leave - buyers are reminded how much their current home may lack certain desired features or amenities," said Yun.
Twenty-four percent of Realtors indicated having buyers who changed the location of where they intend to buy a house due to the coronavirus. Among those who noted having buyers change their intended location, 47 percent stated their buyers prefer to purchase in the suburbs, 39 percent cited rural areas, and 25 percent cited smaller town markets.
Thirty-five percent of Realtors surveyed said buyers have modified at least one home feature that is important to them because of the coronavirus. The most common home features cited as increasingly important are home offices, spaces to accommodate family members new to the residence, like older adult relatives, newborns or new pets, and larger homes with more personal space and bigger yards that would allow for growing food.
Also, 33 percent said their buyers have adjusted commuting needs since the pandemic began, with 22 percent less concerned with their commute. Seven percent want to live close to bike trails that connect them to work and 5 percent are concerned about parking and the ability to drive to work.
The survey found many Realtors are now prepared should another surge of the coronavirus occur. Thirty-nine percent said they are at least somewhat prepared for a second wave of the disease, and 19 percent said they are "very prepared."
Mary Kay Groth, president of the Silicon Valley Association of Realtors, said the pandemic has changed real estate for Silicon Valley's Realtors and their clients. "Since people have had to stay in their residence for months, we are seeing more people value homeownership. Buyer preferences are changing," said Groth.
Groth praised Silicon Valley Realtors' resiliency and ability to adapt to changing circumstances. "Many of our members have embraced technology and adapted virtual tools as a safe way of doing business with their clients," said Groth. "Restrictions have eased, so Realtors are now able to set appointments for in-person showings with clients within certain time frames, as long as they abide by the rules and health and safety guidelines of our county, and provide the required documentation for visits."
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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