Uncertainty in most aspects of life, like health, finances, and career, is widespread right now. While the scientific world is busy looking for the cure to fight the COVID-19 pandemic, the business world is struggling to keep the economy afloat to prevent a deadlock.
Perhaps for most young professionals, especially millennials, it is hard to see any benefits of investing in real estate right now. There are more pressing needs that one needs to address in these uncertain times, such as emergency funds, grocery and utility bill budgets, and medical care.
However, if one would look closely at the present economic condition, this moment is the best time to engage in real estate investment. Enumerated below are the advantages of buying a house in the middle of the Coronavirus pandemic.
A Good Deal of Options Available on the Market
With investors taking a back seat in the present coronavirus landscape, there is less competition among home buyers and the former. The real estate market is not pushing forward increased prices on properties, which, in a normal pre-pandemic environment, only deep-pocketed investors could afford.
Moreover, many real estate agents are utilizing online platforms to make their products visible despite lockdowns. There has been an observed increase in new listings since the pandemic hit the market. Through virtual home viewing, future homeowners can look for the perfect house that fits their needs and wants within their budget range.
Furthermore, with a decrease in the demand side, several high-end properties are sold at a much lower price right now. As a young professional with a secure income, it is highly recommended to take advantage of this opportunity before the prices in real estate bounce back.
Mortgage Rates Have Reached an All-Time Low
The economic impact of the spread of the coronavirus disease has also led to the continued downward spiral of the mortgage rates. Therefore, making it an opportune time for homebuyers to take advantage of the best mortgage rates available right now.
Low mortgage rates mean lower home loan repayments. With the economy still hampered by the ongoing pandemic, the uncertainty of how this situation would last means that mortgage rates would stay this way for some time until an unforeseeable future.
Lower home loan repayments mean prospective homeowners can allocate the extra amount they should have paid for the mortgage on other essential investments, like healthcare. Hence, you are saving when you buy a house right now as compared to paying for rent.
Investing in Real Estate Is a Safe Bet
Any perceptive investor knows that investing in real estate is a safe bet. There are numerous reasons real property investment is a good investment.
One good reason is the appreciation of real estate value over time. With the prices of realty at its lowest during this Coronavirus pandemic, it is a safe bet that there will be a surge in rates after the end of this outbreak.
However, even without the pandemic, real property value increases over time. The longer you hold onto your property, the more money you are likely to make. The value of your home increases as the market improves, and thus you build equity.
On top of those mentioned above, not only has real estate high tangible asset value, but investing in the real properties comes with numerous tax benefits.
More Real Estate Agents Are Willing to Showcase Their Expertise
With the challenging times affecting the real estate industry, real estate agents are adapting not only to meet their selling quotas but also to meet the needs and wants of their clients.
Brokers are there to help aspiring real property buyers to get the best deals in the market, particularly in these circumstances. More than the concern in selling as many houses as they can to reach their quotas, real estate agents are also compassionate in cultivating the relationship with their clients to garner more loyal customers.
You might be lucky to stumble upon brokers who are well-versed in handling investors interested in buying a real property during this outbreak. With their experience and knowledge, they can help you in making prudent choices.
Considering the benefits of buying a house despite the Coronavirus outbreak, there are also factors to put in mind whether indeed this is the best time for you to opt for purchasing real property.
First, check your finances. If your employment status has been affected by the outbreak of the virus, unless you have other financial sources, buying a house right now is probably not the best time to do so. And even if you have not been affected by the economic fallout so far, you should consider, among others, the stability of the company you are currently employed.
Another thing to consider is your credit score. Having a credit score at the low end of the approval range would not make a good impression on most lenders. However, do not get discouraged. You will get your dream house. You may discuss your credit score with your broker, who may help you get connected with a financial advisor or even a reputable loan officer.