People stopped buying houses and properties the moment the COVID-19 pandemic hit. Some of them were losing their jobs, while others were finding it difficult to meet their daily necessities. The economy had taken a turn for the worse. According to the World Bank, the recession was inevitable for many countries. The lower-income group was set to be completely wiped out, and the middle-class was about to lose a lot of their savings and fortune.
All in all, 2020 was not a good year for those who wanted to sell their properties, because there was no one there to buy them.
Recently, however, things have started to improve. CNBC reported that house sales were back up by 21 percent since the start of the pandemic. This is so far the biggest increase in house sales since May of last year when the pandemic was causing havoc all over the world.
However, although things have started to improve, it is not completely normal just yet. That means you will find people who want to buy your house, but you might have to settle for a much lower price tag. Of course, that is something you would want to avoid. After all, nobody wants to sell a property, irrespective of its type and size, unless they can profit from it.
So what do you do? Should you sell your house now that the prices are a bit steep, or wait a little longer to see how things pan out?
If You Want to Sell Right Now
Your biggest competition right now, if you want to sell your house, is cheap house rent. Due to the pandemic, many people have left the bigger cities and moved back to their hometowns. International students also had to leave the country. Because of all this, houses and rental apartments started to become vacant with no one willing to rent them. In a desperate attempt to attract tenants, landlords began to lower the rents, but to no avail.
Bloomberg did a very good report on this issue. You can check it out here. The report shows how cities like New York tried to bring back some of the tenants they had lost by decreasing their rents. The report also shows how the selling prices of properties went up at the same time.
Hence, in case you want to sell your house, you will be better off selling it through a realtor. That is because these real estate agents know the market better than you. And while they cannot manipulate the prices, they will be more than eager to offer you a decent amount, quite close to what you were expecting or the market value. Click here to learn more about them and how they can help you sell your house or property.
In Case You Want to Sell It Later
The future is unpredictable, and so you cannot say whether you can sell your house for a higher price in the near future. However, things might not work out for you if things continue to improve with the pandemic.
As people start getting back to work and classes, the vacant houses will once again have tenants. Given the low rents, people will initially settle down in those rentals. And the few who could have actually afforded your house might make other plans as well.
Common sense suggests that once people are solvent again, they can buy houses and properties like before. However, this solvency will take some time. People will not feel encouraged to make such huge investments, especially on properties and houses, right after a global pandemic. Many of them will be more concerned about saving, and hence, they are likely to avoid buying such expensive properties.
All this, however, is merely speculation. Because no one can tell what the situation will be tomorrow or a year from now. Yet, considering the worst-case scenario, you might not be satisfied with the way things progress with your sale once things start getting back to normal.
So what do you say? On one hand, you could wait to see if more people are interested in buying your house, but probably at a lower price. And on the other, you can get in touch with an agent, and have your house sold right now for a fairly reasonable price. The choice is yours.