Emily Farber, REALTOR® https://emilyfarber.com Emily Farber, REALTOR® Your Source for Real Estate in the greater Iowa City Area Mon, 06 Apr 2026 00:17:04 +0000 hourly 1 https://wordpress.org/?v=6.8.3 https://s3.amazonaws.com/eap03.easyagentpro.com/wp-content/uploads/sites/75/2025/01/05123720/Untitled-design-11-1-150x150.png Coronavirus Real Estate – Emily Farber, REALTOR® https://emilyfarber.com 32 32 Buyers Just Hit Pause. Why? | Spring 2026 Real Estate Market Update https://emilyfarber.com/real-estate-blog/buyers-just-hit-pause-why-spring-2026-real-estate-market-update/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/buyers-just-hit-pause-why-spring-2026-real-estate-market-update/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Want to Live In Up-And-Coming Marion? | 755 Alexis Ln, Marion Iowa https://emilyfarber.com/real-estate-blog/want-to-live-in-up-and-coming-marion-755-alexis-ln-marion-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/want-to-live-in-up-and-coming-marion-755-alexis-ln-marion-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Are You OVERPAYING on Property Taxes? How to FIND OUT & APPEAL https://emilyfarber.com/real-estate-blog/are-you-overpaying-on-property-taxes-how-to-find-out-appeal/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/are-you-overpaying-on-property-taxes-how-to-find-out-appeal/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Death and Taxes…☠️ 💸 https://emilyfarber.com/real-estate-blog/death-and-taxes-%e2%98%a0%ef%b8%8f-%f0%9f%92%b8/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/?p=3396
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Do Any Affordable Homes Still Exist?! | 3323 Tulane Ave, Iowa City https://emilyfarber.com/real-estate-blog/do-any-affordable-homes-still-exist-3323-tulane-ave-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/do-any-affordable-homes-still-exist-3323-tulane-ave-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Can’t Sell The House?! https://emilyfarber.com/real-estate-blog/cant-sell-the-house/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/cant-sell-the-house/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Seller MISTAKES That Turn Buyers Off (Buyer Psychology Explained!) https://emilyfarber.com/real-estate-blog/seller-mistakes-that-turn-buyers-off-buyer-psychology-explained/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/seller-mistakes-that-turn-buyers-off-buyer-psychology-explained/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Buying An Acreage Near Iowa City: What Nobody Tells You https://emilyfarber.com/real-estate-blog/buying-an-acreage-near-iowa-city-what-nobody-tells-you/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/buying-an-acreage-near-iowa-city-what-nobody-tells-you/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Home Improvements That Buyers Love The MOST https://emilyfarber.com/real-estate-blog/home-improvements-that-buyers-love-the-most/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/?p=3372
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Inside A Dramatically Cute Condo https://emilyfarber.com/real-estate-blog/inside-a-dramatically-cute-condo/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/inside-a-dramatically-cute-condo/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Where Should You Actually Live? Iowa City vs Coralville vs North Liberty vs Tiffin https://emilyfarber.com/real-estate-blog/where-should-you-actually-live-iowa-city-vs-coralville-vs-north-liberty-vs-tiffin/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber http://emilyfarber.com/real-estate-blog/where-should-you-actually-live-iowa-city-vs-coralville-vs-north-liberty-vs-tiffin/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Predictions EXPOSED! Housing Market Reality Check https://emilyfarber.com/real-estate-blog/predictions-exposed-housing-market-reality-check/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/predictions-exposed-housing-market-reality-check/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The TRUTH About How Smart Buyers Find REAL Deals In Today’s Housing Market https://emilyfarber.com/real-estate-blog/the-truth-about-how-smart-buyers-find-real-deals-in-todays-housing-market/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/the-truth-about-how-smart-buyers-find-real-deals-in-todays-housing-market/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The 2025 Housing Market: What Actually Happened (and What Comes Next) https://emilyfarber.com/real-estate-blog/the-2025-housing-market-what-actually-happened-and-what-comes-next/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/?p=3346
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Think Iowa Homes Are Cheap? These Are the MOST Expensive Places to Live in Iowa https://emilyfarber.com/real-estate-blog/think-iowa-homes-are-cheap-these-are-the-most-expensive-places-to-live-in-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/think-iowa-homes-are-cheap-these-are-the-most-expensive-places-to-live-in-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> A “Nobody’s Market”–Real Estate Market Out To Crush ALMOST Everyone https://emilyfarber.com/real-estate-blog/a-nobodys-market-real-estate-market-out-to-crush-almost-everyone/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/a-nobodys-market-real-estate-market-out-to-crush-almost-everyone/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Solo Agent vs Real Estate Team–How To Get What You Expect https://emilyfarber.com/real-estate-blog/solo-agent-vs-real-estate-team-how-to-get-what-you-expect/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/solo-agent-vs-real-estate-team-how-to-get-what-you-expect/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> SHOCKING TRUTH Why Buyers HATE Your House & Why It’s Not Selling https://emilyfarber.com/real-estate-blog/shocking-truth-why-buyers-hate-your-house-why-its-not-selling/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/shocking-truth-why-buyers-hate-your-house-why-its-not-selling/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Everyone Wants An Acreage | 3375 Half Moon Ave SW, Tiffin Iowa https://emilyfarber.com/real-estate-blog/everyone-wants-an-acreage-3375-half-moon-ave-sw-tiffin-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/everyone-wants-an-acreage-3375-half-moon-ave-sw-tiffin-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Inviting & Quiet Cul-de-sac Home | 73 Durango Pl, Iowa City https://emilyfarber.com/real-estate-blog/inviting-quiet-cul-de-sac-home-73-durango-pl-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/inviting-quiet-cul-de-sac-home-73-durango-pl-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Boone Rail Explorers | Iowa Adventures https://emilyfarber.com/real-estate-blog/boone-rail-explorers-iowa-adventures/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/boone-rail-explorers-iowa-adventures/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Brutally Honest Rankings: The Iowa City Area’s Best (and Worst) Suburbs & Small Towns https://emilyfarber.com/real-estate-blog/brutally-honest-rankings-the-iowa-city-areas-best-and-worst-suburbs-small-towns/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/brutally-honest-rankings-the-iowa-city-areas-best-and-worst-suburbs-small-towns/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Fed Rate Drops…What It Means For You! https://emilyfarber.com/real-estate-blog/fed-rate-drops-what-it-means-for-you/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/fed-rate-drops-what-it-means-for-you/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Your Dream Home Tour? | 2933 Broken Wood Dr, Coralville https://emilyfarber.com/real-estate-blog/your-dream-home-tour-2933-broken-wood-dr-coralville/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/your-dream-home-tour-2933-broken-wood-dr-coralville/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Is the US Housing Market Broken? Frustration Everywhere https://emilyfarber.com/real-estate-blog/is-the-us-housing-market-broken-frustration-everywhere/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/is-the-us-housing-market-broken-frustration-everywhere/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Explore a Tiffin Zero Lot with No Stairs! | 536 Bear Dr, Tiffin, Iowa https://emilyfarber.com/real-estate-blog/explore-a-tiffin-zero-lot-with-no-stairs-536-bear-dr-tiffin-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/explore-a-tiffin-zero-lot-with-no-stairs-536-bear-dr-tiffin-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tour A Zero Stairs Condo! | 85 Broadmoor Ln Iowa City https://emilyfarber.com/real-estate-blog/tour-a-zero-stairs-condo-85-broadmoor-ln-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tour-a-zero-stairs-condo-85-broadmoor-ln-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Housing Market Price Correction | Fall 2025 Iowa City Market Update https://emilyfarber.com/real-estate-blog/housing-market-price-correction-fall-2025-iowa-city-market-update/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber http://emilyfarber.com/real-estate-blog/housing-market-price-correction-fall-2025-iowa-city-market-update/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> How To: Home Shopping From Out of State https://emilyfarber.com/real-estate-blog/how-to-home-shopping-from-out-of-state/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/how-to-home-shopping-from-out-of-state/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Liberty Centre | North Liberty Neighborhoods https://emilyfarber.com/real-estate-blog/liberty-centre-north-liberty-neighborhoods/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/liberty-centre-north-liberty-neighborhoods/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The Ultimate Downsizing Guide: 10 Tips You Need! https://emilyfarber.com/real-estate-blog/the-ultimate-downsizing-guide-10-tips-you-need/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/the-ultimate-downsizing-guide-10-tips-you-need/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Cash Gifts & Home Buying: The Right (and Wrong) Way To Do It https://emilyfarber.com/real-estate-blog/cash-gifts-home-buying-the-right-and-wrong-way-to-do-it/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/cash-gifts-home-buying-the-right-and-wrong-way-to-do-it/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> No Offers, No Showings, No Clue? Let’s Talk Home Pricing https://emilyfarber.com/real-estate-blog/no-offers-no-showings-no-clue-lets-talk-home-pricing/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/no-offers-no-showings-no-clue-lets-talk-home-pricing/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Inside a Perfectly Located Iowa City Peninsula Condo | 1192 Foster Rd https://emilyfarber.com/real-estate-blog/inside-a-perfectly-located-iowa-city-peninsula-condo-1192-foster-rd/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/inside-a-perfectly-located-iowa-city-peninsula-condo-1192-foster-rd/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> DON’T Move to Iowa City Until You Watch This! https://emilyfarber.com/real-estate-blog/dont-move-to-iowa-city-until-you-watch-this/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/dont-move-to-iowa-city-until-you-watch-this/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Big Housing Market Shift Buyers Will LOVE! https://emilyfarber.com/real-estate-blog/big-housing-market-shift-buyers-will-love/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/big-housing-market-shift-buyers-will-love/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Haters HATING on Iowa! What Do They Say? https://emilyfarber.com/real-estate-blog/haters-hating-on-iowa-what-do-they-say/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/haters-hating-on-iowa-what-do-they-say/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Zillow Is BANNING Certain Listings! | What Homes Are Shadow Banned?! https://emilyfarber.com/real-estate-blog/zillow-is-banning-certain-listings-what-homes-are-shadow-banned/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber http://emilyfarber.com/real-estate-blog/zillow-is-banning-certain-listings-what-homes-are-shadow-banned/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tour an Affordable Longfellow Neighborhood Home | 661 S Governor St, Iowa City https://emilyfarber.com/real-estate-blog/tour-an-affordable-longfellow-neighborhood-home-661-s-governor-st-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tour-an-affordable-longfellow-neighborhood-home-661-s-governor-st-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Discovering the Eastside Neighborhood | Iowa City Neighborhoods https://emilyfarber.com/real-estate-blog/discovering-the-eastside-neighborhood-iowa-city-neighborhoods/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/discovering-the-eastside-neighborhood-iowa-city-neighborhoods/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Are Buyers Ghosting Real Estate? https://emilyfarber.com/real-estate-blog/are-buyers-ghosting-real-estate/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/?p=3126
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Inside a Retro Lake House | 3797 Cottage Reserve Rd NE, Solon, Iowa https://emilyfarber.com/real-estate-blog/inside-a-retro-lake-house-3797-cottage-reserve-rd-ne-solon-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/inside-a-retro-lake-house-3797-cottage-reserve-rd-ne-solon-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Better Than New? | 765 S Alexander Way, North Liberty, IA https://emilyfarber.com/real-estate-blog/better-than-new-765-s-alexander-way-north-liberty-ia/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/better-than-new-765-s-alexander-way-north-liberty-ia/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Artistic Acreage | 3302 Old Prairie du Chien Rd NE, Iowa City, IA 52240 https://emilyfarber.com/real-estate-blog/artistic-acreage-3302-old-prairie-du-chien-rd-ne-iowa-city-ia-52240/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/artistic-acreage-3302-old-prairie-du-chien-rd-ne-iowa-city-ia-52240/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> What Really Happens to Homes Prices During a Recession? https://emilyfarber.com/real-estate-blog/what-really-happens-to-homes-prices-during-a-recession/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/?p=3093
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Old Town & Coralville Heights Neighborhood | Coralville Neighborhoods https://emilyfarber.com/real-estate-blog/old-town-coralville-heights-neighborhood-coralville-neighborhoods/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/old-town-coralville-heights-neighborhood-coralville-neighborhoods/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> EXPOSED! What Iowa City Desperately Needs But Doesn’t Have https://emilyfarber.com/real-estate-blog/exposed-what-iowa-city-desperately-needs-but-doesnt-have/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/exposed-what-iowa-city-desperately-needs-but-doesnt-have/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Huge Condo Walking Distance to Kinnick Stadium| 105 Birkdale Ct, Iowa City https://emilyfarber.com/real-estate-blog/huge-condo-walking-distance-to-kinnick-stadium-105-birkdale-ct-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/huge-condo-walking-distance-to-kinnick-stadium-105-birkdale-ct-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Dream Homes | Auburn Ridge is Coralville’s Newest Luxury Neighborhood https://emilyfarber.com/real-estate-blog/dream-homes-auburn-ridge-is-coralvilles-newest-luxury-neighborhood/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/dream-homes-auburn-ridge-is-coralvilles-newest-luxury-neighborhood/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Top Floor Condo! | 2464 Cascade Ln, Iowa City https://emilyfarber.com/real-estate-blog/top-floor-condo-2464-cascade-ln-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/top-floor-condo-2464-cascade-ln-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> What Does $320,000 Buy in Iowa? |206 Valley Rd, Williamsburg, Iowa https://emilyfarber.com/real-estate-blog/what-does-320000-buy-in-iowa-206-valley-rd-williamsburg-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/what-does-320000-buy-in-iowa-206-valley-rd-williamsburg-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Spring Real Estate Market Warnings 2025 https://emilyfarber.com/real-estate-blog/spring-real-estate-market-warnings-2025/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/spring-real-estate-market-warnings-2025/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Must See! What’s NEW and COMING SOON to the Iowa City Area in 2025 https://emilyfarber.com/real-estate-blog/must-see-whats-new-and-coming-soon-to-the-iowa-city-area-in-2025/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/must-see-whats-new-and-coming-soon-to-the-iowa-city-area-in-2025/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Spooky History of Iowa City https://emilyfarber.com/real-estate-blog/spooky-history-of-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/spooky-history-of-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> You Won’t Regret Moving to Iowa https://emilyfarber.com/real-estate-blog/you-wont-regret-moving-to-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/you-wont-regret-moving-to-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tariffs On Crash Course With US Housing Market? https://emilyfarber.com/real-estate-blog/tariffs-on-crash-course-with-us-housing-market/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tariffs-on-crash-course-with-us-housing-market/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Unlocking School Choice in Iowa: Taxpayer-Funded Private School Vouchers https://emilyfarber.com/real-estate-blog/unlocking-school-choice-in-iowa-taxpayer-funded-private-school-vouchers/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/unlocking-school-choice-in-iowa-taxpayer-funded-private-school-vouchers/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Iowa Income Tax…From Terrible to Terrific? | Iowa’s New Flat Rate Income Tax https://emilyfarber.com/real-estate-blog/iowa-income-tax-from-terrible-to-terrific-iowas-new-flat-rate-income-tax/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/iowa-income-tax-from-terrible-to-terrific-iowas-new-flat-rate-income-tax/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Don’t Make These Mistakes When Moving to Iowa City, IA https://emilyfarber.com/real-estate-blog/dont-make-these-mistakes-when-moving-to-iowa-city-ia/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/dont-make-these-mistakes-when-moving-to-iowa-city-ia/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Surviving Iowa Winters: A Beginners Guide https://emilyfarber.com/real-estate-blog/surviving-iowa-winters-a-beginners-guide/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/surviving-iowa-winters-a-beginners-guide/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> 2025 Housing Market Predictions | Is US Real Estate About to Shift? https://emilyfarber.com/real-estate-blog/2025-housing-market-predictions-is-us-real-estate-about-to-shift/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/2025-housing-market-predictions-is-us-real-estate-about-to-shift/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Are Iowa City Homes Overpriced? https://emilyfarber.com/real-estate-blog/are-iowa-city-homes-overpriced/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/are-iowa-city-homes-overpriced/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Iowa City Real Estate: 2024 Housing Market Recap & Outlook For 2025! https://emilyfarber.com/real-estate-blog/iowa-city-real-estate-2024-housing-market-recap-outlook-for-2025/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/iowa-city-real-estate-2024-housing-market-recap-outlook-for-2025/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Is Iowa Toxic? Uncovering Iowa’s Toxic Towns https://emilyfarber.com/real-estate-blog/is-iowa-toxic-uncovering-iowas-toxic-towns/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/is-iowa-toxic-uncovering-iowas-toxic-towns/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The Secret to Unlocking Good Deals– Winter Home Buying https://emilyfarber.com/real-estate-blog/the-secret-to-unlocking-good-deals-winter-home-buying/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/the-secret-to-unlocking-good-deals-winter-home-buying/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Is It a Good Idea to Move to Iowa? https://emilyfarber.com/real-estate-blog/is-it-a-good-idea-to-move-to-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/is-it-a-good-idea-to-move-to-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Battle Royale: Trump vs the US Housing Market https://emilyfarber.com/real-estate-blog/battle-royale-trump-vs-the-us-housing-market/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/battle-royale-trump-vs-the-us-housing-market/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Are First-Time Home Buyers Doomed? Home Prices…A Force That Will Reshape The US? https://emilyfarber.com/real-estate-blog/are-first-time-home-buyers-doomed-home-prices-a-force-that-will-reshape-the-us/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/are-first-time-home-buyers-doomed-home-prices-a-force-that-will-reshape-the-us/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> NEVER Buy These 10 Types of Houses in Iowa (and many other states, too)! https://emilyfarber.com/real-estate-blog/never-buy-these-10-types-of-houses-in-iowa-and-many-other-states-too/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/never-buy-these-10-types-of-houses-in-iowa-and-many-other-states-too/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The Most Underrated State in the USA…Iowa | WHY People Are Moving Here! https://emilyfarber.com/real-estate-blog/the-most-underrated-state-in-the-usa-iowa-why-people-are-moving-here/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/the-most-underrated-state-in-the-usa-iowa-why-people-are-moving-here/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> They’re Lying To You About Moving To Iowa (What Living Here Is Actually Like) https://emilyfarber.com/real-estate-blog/theyre-lying-to-you-about-moving-to-iowa-what-living-here-is-actually-like/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/theyre-lying-to-you-about-moving-to-iowa-what-living-here-is-actually-like/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Natural Disasters–Where to Live to (Mostly) Avoid Them https://emilyfarber.com/real-estate-blog/natural-disasters-where-to-live-to-mostly-avoid-them/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/natural-disasters-where-to-live-to-mostly-avoid-them/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Going Nowhere Fast…Housing Market Update Q4 2024 https://emilyfarber.com/real-estate-blog/going-nowhere-fast-housing-market-update-q4-2024/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/going-nowhere-fast-housing-market-update-q4-2024/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Real Celebrity Homes of Iowa https://emilyfarber.com/real-estate-blog/real-celebrity-homes-of-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/real-celebrity-homes-of-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> DIY Home Buying vs Using an Buyer’s Agent: Is Hiring A Realtor Worth It? https://emilyfarber.com/real-estate-blog/diy-home-buying-vs-using-an-buyers-agent-is-hiring-a-realtor-worth-it/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/diy-home-buying-vs-using-an-buyers-agent-is-hiring-a-realtor-worth-it/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Discover This Iowa Horse Acreage! | 5640 Lower West Branch Rd SE, West Branch, IA https://emilyfarber.com/real-estate-blog/discover-this-iowa-horse-acreage-5640-lower-west-branch-rd-se-west-branch-ia/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/discover-this-iowa-horse-acreage-5640-lower-west-branch-rd-se-west-branch-ia/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Explore Inside a Real Life Fairytale Cottage | 810 Roosevelt St, Iowa City https://emilyfarber.com/real-estate-blog/explore-inside-a-real-life-fairytale-cottage-810-roosevelt-st-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/explore-inside-a-real-life-fairytale-cottage-810-roosevelt-st-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Unwritten RULES of Iowa! | Things You Need to Know https://emilyfarber.com/real-estate-blog/unwritten-rules-of-iowa-things-you-need-to-know/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/unwritten-rules-of-iowa-things-you-need-to-know/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> House Flipper Special | 317 Church St Iowa City https://emilyfarber.com/real-estate-blog/house-flipper-special-317-church-st-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/house-flipper-special-317-church-st-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> GAME CHANGED!! NEW ERA of Real Estate https://emilyfarber.com/real-estate-blog/game-changed-new-era-of-real-estate/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/game-changed-new-era-of-real-estate/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Home Shopping Secrets–10 Mistakes to Avoid https://emilyfarber.com/real-estate-blog/home-shopping-secrets-10-mistakes-to-avoid/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/home-shopping-secrets-10-mistakes-to-avoid/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Iowa on the Brink a Homeowners Insurance Crisis?! https://emilyfarber.com/real-estate-blog/iowa-on-the-brink-a-homeowners-insurance-crisis/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/iowa-on-the-brink-a-homeowners-insurance-crisis/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Explore Downtown Iowa City & Campus Walking Tour https://emilyfarber.com/real-estate-blog/explore-downtown-iowa-city-campus-walking-tour/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/explore-downtown-iowa-city-campus-walking-tour/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tour a Stylish Iowa City Ranch | 788 Sherwood Dr https://emilyfarber.com/real-estate-blog/tour-a-stylish-iowa-city-ranch-788-sherwood-dr/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tour-a-stylish-iowa-city-ranch-788-sherwood-dr/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Should Home Sellers Pay The Buyer’s Agent Commission? https://emilyfarber.com/real-estate-blog/should-home-sellers-pay-the-buyers-agent-commission/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/should-home-sellers-pay-the-buyers-agent-commission/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Affordable Small Town Living | 211 Thomas Dr West Branch, Iowa https://emilyfarber.com/real-estate-blog/affordable-small-town-living-211-thomas-dr-west-branch-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/affordable-small-town-living-211-thomas-dr-west-branch-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Surprising Ways US Presidential Elections Impact the Housing Market https://emilyfarber.com/real-estate-blog/surprising-ways-us-presidential-elections-impact-the-housing-market/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/surprising-ways-us-presidential-elections-impact-the-housing-market/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> BUYER BEWARE: Before You Sign, Watch This Buyer Representation Agreement Breakdown! https://emilyfarber.com/real-estate-blog/buyer-beware-before-you-sign-watch-this-buyer-representation-agreement-breakdown/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/buyer-beware-before-you-sign-watch-this-buyer-representation-agreement-breakdown/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tour This Iowa City Ranch Home | 1123 Village Farm Ct, Iowa City https://emilyfarber.com/real-estate-blog/tour-this-iowa-city-ranch-home-1123-village-farm-ct-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tour-this-iowa-city-ranch-home-1123-village-farm-ct-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Real Estate IS ABOUT Change FOREVER For Buyers! https://emilyfarber.com/real-estate-blog/real-estate-is-about-change-forever-for-buyers/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/real-estate-is-about-change-forever-for-buyers/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> The REAL Pros and Cons of Moving to Iowa https://emilyfarber.com/real-estate-blog/the-real-pros-and-cons-of-moving-to-iowa/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/the-real-pros-and-cons-of-moving-to-iowa/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> End of The Sellers’ Market? Iowa City Spring Housing Market Update https://emilyfarber.com/real-estate-blog/end-of-the-sellers-market-iowa-city-spring-housing-market-update/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/end-of-the-sellers-market-iowa-city-spring-housing-market-update/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Check Out This Budget-Friendly Coralville Home! –1003 20th Ave, Coralville, IA https://emilyfarber.com/real-estate-blog/check-out-this-budget-friendly-coralville-home-1003-20th-ave-coralville-ia/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emily-real-estate-67.eapsites03.com/real-estate-blog/check-out-this-budget-friendly-coralville-home-1003-20th-ave-coralville-ia/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Village Green Neighborhood | Iowa City Neighborhoods https://emilyfarber.com/real-estate-blog/village-green-neighborhood-iowa-city-neighborhoods/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/village-green-neighborhood-iowa-city-neighborhoods/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Choosing A Neighborhood — Top Tips for Picking Your New Home Wisely https://emilyfarber.com/real-estate-blog/choosing-a-neighborhood-top-tips-for-picking-your-new-home-wisely/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/choosing-a-neighborhood-top-tips-for-picking-your-new-home-wisely/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Explore this Eastside Iowa City Ranch | 107 Washington Park Rd, Iowa City https://emilyfarber.com/real-estate-blog/explore-this-eastside-iowa-city-ranch-107-washington-park-rd-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/explore-this-eastside-iowa-city-ranch-107-washington-park-rd-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Don’t Buy A Home in Coralville UNTIL You Visit This One! | 565 Lincolnshire Pl, Coralville https://emilyfarber.com/real-estate-blog/dont-buy-a-home-in-coralville-until-you-visit-this-one-565-lincolnshire-pl-coralville/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/dont-buy-a-home-in-coralville-until-you-visit-this-one-565-lincolnshire-pl-coralville/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Tour a Car Lover’s Affordable Dream House & Garage | 3000 Muscatine Ave, Iowa City https://emilyfarber.com/real-estate-blog/tour-a-car-lovers-affordable-dream-house-garage-3000-muscatine-ave-iowa-city/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/tour-a-car-lovers-affordable-dream-house-garage-3000-muscatine-ave-iowa-city/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> Inside a Downtown Iowa City Condo–Walk to Everything! https://emilyfarber.com/real-estate-blog/inside-a-downtown-iowa-city-condo-walk-to-everything/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/inside-a-downtown-iowa-city-condo-walk-to-everything/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]> NAR SETTLEMENT FALLOUT for Buyers, Sellers & Real Estate Industry https://emilyfarber.com/real-estate-blog/nar-settlement-fallout-for-buyers-sellers-real-estate-industry/ Sun, 15 Mar 2020 14:30:50 +0000 Emily Farber https://emilyfarber.com/real-estate-blog/nar-settlement-fallout-for-buyers-sellers-real-estate-industry/
https://youtu.be/lwiOn2bFG58

COVID-19 Sweeps Through Real Estate

You’ve certainly heard about the Coronavirus at this point and have likely begun to think about the impact of the virus beyond just people getting sick. What is the coronavirus impact on real estate? COVID-19 wreaking havoc on supply chains and global economies from manufacturing, travel, service industries, household supplies, hotels, medical supplies, etc. It is looking likely that these impacts will continue to sweep globally to locally as more and more people in the United States become infected with the new coronavirus. How will the novel coronavirus affect our local real estate market?

COVID-19 fears and social distancing are changing home buyer and seller behaviors.

No one knows for sure how wide reaching the effects COVID-19, both the illness, economic and social impacts will be. What we’re seeing unfold in the world right now is unprecedented. The US stock market has reacted negatively, and stocks have dropped rapidly. In previous economic downturns, we often see people become more conservative about spending money, which means they may put off making major purchases, such a buying a new home. Cash buyers may decide to wait if they have their money tied up in stocks and don’t want to sell low. A weaker financial market can cause instability in real estate markets, but some buyers will view this as an opportunity to scoop up investment properties. Here in the greater Iowa City area, past data indicates that we tend to have a very insulated local market that doesn’t see the extreme ups and downs that some other locations do, thanks to the presence of the University of Iowa in our local economy. Will that hold true during this tumultuous time, too?

The novel coronavirus impacts local real estate.

Lower Mortgage Rates

The Fed recently cut rates, and we are now seeing mortgage interest rates at historic lows. Usually, low mortgage interest rates boost home sales, but we are in uncharted waters right now with growing feelings of public hysteria. No one knows for sure how the novel coronavirus will impact real estate sales, but it is clear the federal government is doing what it can to keep this aspect of the economy moving. Our local spring real estate market up until this point, from my point of view, is off to a red-hot start for the spring of 2020. My phone and email inbox have been on fire and I have been working 10-12-hour days trying to meet the needs of my clients. I have been busier than I ever have been before. Buyers obviously see the opportunity at hand, and want to take advantage of it, and sellers want a chance at all those buyers. The very low mortgage interest rates mean there are more buyers in in the market right now, and those buyers are able to afford more than they would previously have been able to swing.

A Pandemic Comes Home

Will COVID-19 change the way we do business? Real estate, by and far, is a very personal business. As a real estate agent, I frequently meet with clients, spend extended amounts of time with them, tour multiple properties, touch a lot of surfaces while exploring the home, and travel from place to place within a short period of time. If we are entering into a new social landscape where people are fearful of exposing themselves, or spreading a virus, how will we adapt to meet the needs of our clients, both buyers and seller?) The first confirmed cases of COVID-19 were reported in Johnson County Iowa the second week of March 2020, and it is popping up rapidly all around the country. Real estate agents I know in other parts of the country are already seeing new situations arise because of the virus. For example, some sellers are deciding to cancel open houses because they aren’t comfortable with the risk of an infected person coming into their house. Other sellers are requiring all visitors to use hand sanitizer upon entering and are asking their agent to wipe down counters and doorknobs with disinfectants after people leave. The National Association of Realtors predicts at the very least the coronavirus could cause some people to put home sales on hold, which is predictable if a buyer or a seller is not highly motivated. As a result, I would not be surprised to see a decrease in inventory if those non-highly motivated sellers drop out for this spring selling season while they wait for the uncertainty of COVID-19 to pass.

Will COVID-19 change the way buyers look at homes? A home’s online presence is already a huge factor in attracting buyers, but most buyers still want to tour a home in person before making a decision. After all, there are some home qualities that are best ascertained through a physical examination, such as quality of construction, odors, traffic noise, condition of neighboring properties, etc. However, if buyers are fearful of increased exposure risk to the coronavirus, the importance of video will only increase as a way for potential buyers to virtually tour the home. Buyers may need to become more comfortable with not physically viewing all properties during their decision-making process. Working with a Realtor® who is very dialed into a buyer’s needs and wants will become even more heightened than it already is. Buyers and sellers will likely become even more interested agents who offer video, 3D and floor plan services as a way to help people understand the look and layout of the property.

Many corporations are making announcements about their polices regarding the coronavirus, The National Association of Realtors, which you can see here, but the unnerving difference is that selling a home usually involves inviting strangers into your home.

New Construction

In terms of new construction, it’s a mixed bag right now. Crude oil and lumber prices are down, but here in the US we rely heavily upon China for many products used new construction, such as cabinets, flooring, lighting, plumbing fixtures and major appliances. If China’s industrial sector has been shuttered, that will mean major supply chain problems here for builders, which will ultimately equal higher prices for consumers, as well as longer build times.

Main Takeaways

Beyond the serious health concerns, the impact of the coronavirus on national and local economies is looking dire, and the situation is fluid and rapidly changing. There are some truths to keep in mind as we watch the situation:

  1. People need homes to live in.
  2. People are financially motivated and interest rates are low right now, BUT, as the same time…
  3. People are afraid of the unknown. It is too soon to determine if this unknown will keep some would-be home sellers on hold, creating a shortage of inventory.

Another huge unknown is if our community will see quarantines the same way we’re seen them in China and Italy. If that were to happen locally, the effects on local real estate would be swift and extreme, although likely short lived. People physically looking at homes would come to a screeching halt. Property that was currently under contract could be at risk because people may see finances affected by not being able to work and their financing may fall apart. Negotiated components of the transaction may have to be put on hold because work and repairs would not be able to be completed, and if appraisers, attorneys and mortgage processors are working less, or not at all, that could mean seriously delays in transactions.

Final Thoughts

I don’t have a crystal ball in order to tell you what is going to happen. I can only make educated guesses. I don’t want to add to the public hysteria over COVID-19, but I also believe in the power of planning. If you’re thinking about buying or selling in the near future, I would encourage you to think through these issues. Housing is a basic human necessity, and I think buyers and sellers who are highly motived, those who NEED to buy or sell, will likely still be active despite the turmoil. I think sellers may impose additional levels of health protection in terms of what they require visitors to their home to do, and the “free for all” aspect of open houses may slow way down for the foreseeable future. I think video and other methods of touring a home without physically being in it will become highly sought after by all parties involved—buyers, sellers and agents. Don’t be surprised to see new construction prices to increase and build times lengthen. Average days on market (the length of time it takes to sell a house) will likely increase, and the extended deadlines should be expected. Buyers who DON'T have to sell a house to buy a house will be in a power position because sellers won't want to hitch their wagon to even more uncertainty.

]]>