Top Housing Trends in the Age of COVID-19
There’s no arguing that, for the past year, the COVID-19 pandemic has changed just about everything, including the way we work, live, and function as a society.
But how, exactly, has the pandemic changed real estate?
A recent article from REALTOR® Magazine outlined the top housing trends to emerge as a result of the ongoing pandemic, including:
Fierce buyer competition. Mortgage rates are hovering near all-time lows, which has flooded the market with potential buyers. But available homes for sale in the US are also at historic lows—and this supply and demand imbalance is driving fierce buyer competition, bidding wars, and increasing home prices.
More first-time buyers hitting the market. As mentioned, low mortgage rates are attracting more buyers to the market—including buyers purchasing property for the first time. First-time home buyers made up 33 percent of the market in 2020.
A shift from city living to life in the suburbs. The pandemic has driven many companies to shift to a remote work model—and, now that they can work remotely, many employees have opted out of city living and moved to the suburbs in search of more space and privacy.
These trends are likely to persist in the coming months until the state returns back to normal. We believe the low amount of inventory will continue to be a challenge, but we anticipate there will be some relief as we move into the spring and summer months in Southern Indiana.