Seller’s Market During the Pandemic
At the beginning of the pandemic, real estate professionals and economists, across Canada predicted dramatic price reductions in real estate markets. While the cities may have seen such dips, we haven’t experienced them here. Prices have remained stable and even increased, in some areas.
Canada-wide, things have picked up throughout the summer. The market is hot, and while buyers are looking at near-normal levels, inventory remains quite low. Here in the Georgian Bay area, we’ve seen a similar pattern.
The number of homes for sale are much lower than they typically are, this time of year, but sales have increased dramatically, since May, after declining quickly during the lock-down period. The magic number seems to be $500,000. In many cases, homes priced under that sell within days, with multiple offers. Home sales in Clearview, Collingwood, Wasaga Beach, Blue Mountains, Meaford and Grey Highlands hit record-breaking levels in July. Despite the ongoing pandemic, real estate in this area is alive and well.
At the beginning of the pandemic, some new home construction came to a halt, as no new building permits were issued for a period of time. Anything that already had a building permit could continue, but there was a slow-down since inspectors, appraisers and others who needed to enter homes couldn’t do so. Since Phase 2 of the province’s re-opening, new permits are being issued and building seems to be back on track.
What About COVID-19 Safety Measures?
While our economy re-opens, homeowners are being cautious, and real estate professionals are still taking the pandemic seriously, following Health Canada guidelines to protect our buyers and sellers and minimize anxiety through the process.
We are wearing face masks and encouraging potential buyers to do the same, disinfecting surfaces before and after showings, to protect all parties, and screening visitors with Covid-19 questionnaires. We are collecting contact information, in case a need arises for virus-related contact tracing. To reduce the need for open houses, we are using available technology to provide virtual walk-throughs and interactive floorplan tours.
Good News for Pandemic Real Estate Buyers
While it may be a tough time for buyers trying to get into the market, the good news is that mortgage interest rates still remain low. Prime mortgage lending rates sit around 2% and the Bank of Canada isn’t planning to raise rates in the near future. If you’ve got stable employment and have saved your down payment, this is a great time to buy.
Any Other Good News?
It’s been a strange year, for sure, but there are plenty of good news stories too:
- Many people enjoyed the slower pace that lock-down offered.
- Many families have enjoyed their time together and bonded like never before.
- People have pitched in to help their families and neighbours, in record numbers.
- The housing market is opening up as new builds are getting back on track and sales of existing homes have increased.
- Interest rates are low, and the Bank of Canada is hinting that they will stay there for a while.
EVERYONE needs help sometime. Reach out to others to see if they need help! And don’t be afraid to ask for help yourself. More good news is we have hope that this year will get better. Nothing can take that away!!
I’m Here to Help, During the Pandemic, and Always
How are you making out with social distancing and masks, errands, and home maintenance? It’s been great to see family and friends again. Do you need anything? If I can assist, I will. If not, I may be able to get you the help you need. I am only a phone call or an email away!
As the famous Red Green always says, “WE ARE ALL IN THIS TOGETHER. I’M PULLING FOR YA!!”