How A Crisis Might Impact the Housing Market in 2020

Anytime there is a change in the economy, the housing market reflects that change. So much of the housing market depends on externalities and what happens to the world and the nation’s economy. As of March of 2020, the economy suffered a particularly hard blow when the coronavirus was deemed a global pandemic and brought the U.S economy to a halt. So many homeowners that were thinking about putting their house on the market may now be experiencing some uncertainty. The whole world is experiencing uncertainty when it comes to the markets and the foreseeable future in the economy. We thought we’d look at some important things to remember about cash home buyers and how we might be able to help in these times of economic uncertainty. So we thought we’d take a look at some foreseeable changes and how selling your home for cash might be an option.

There is certainly a decline in confidence due to the uncertainty of the economy. Everything is bringing an abundance of caution, especially large financial transactions like home purchases and sales.

The virus crisis is not expected to last long. The experts say that unlike the subprime mortgage crisis of 2008, this is more of a temporary downfall due to the slowdown of the economy. So even if there is some current uncertainty, it is not likely to last long. We should stay optimistic for the end of the year, as the economy will likely pick up then.

On the demand side, the data shows that there will be buyers in the market, as the curve starts to slow down and consumer confidence picks up. In the early part of March, there was some decline in buyer interest and yet investors seem to be scooping up some good properties. This means that while some might tell you it’s the wrong time to sell, you actually might benefit from putting your house on the market.

Advantages to Selling Your Home for Cash

There are a couple of upsides to selling your house for cash, even when you might be unsure:

  1. The sale is more unlikely to fall through. Unlike going through a conventional sale and loan, if you are selling your home for cash, the sale is less likely to fall through.
  2. Closing is much faster. These transactions happen quickly and there is no wait of 40 or more days before closing and inspections and all of that. As the saying goes, cash is king when it comes to real estate deals.
  3. Cash sales are ‘as is.’ If you’re trying to avoid making costly repairs on your home or need to make the sale quickly, the cash option allows you to make that sale without having to invest time and money on a repair or renovation.
  4. Liberates you of Renovation costs. When homeowners look for a home, they often want to see recent renovations or maybe updated features of the home. With a cash offer, you can avoid these renovation costs and free yourself up from having to consider changes to the bathroom or living room.

So while you are hearing a lot of talk about the uncertainty of the market, one good thing to focus on is the fact that it is likely to be temporary.

Many homeowners worry about the right time to sell their home. This is a common worry and especially when there is uncertainty in the air. If you wait too long, you might end up getting less for your home or a foreclosure, sell it impulsively and you might miss the upswing after a downturn in the economy. If your home is already needing repairs, then you might end up losing more value as those repairs accumulate.

So is it a Right Time for You To Sell?

This is a common question, so let’s look at a few things that might indicate this.

  1. Making the payments every month feels like a painful stretch.
  2. You are feeling overwhelmed with financial uncertainty.
  3. You are feeling overwhelmed with the many repairs you might have to make.
  4. You’re ready to move and are not wanting to wait the time for repairs and/or a traditional loan.

Sell Your Home Quickly With El Paso Cash Homebuyers

Here at El Paso Cash Homebuyers, we want homeowners to stay calm throughout all of this. We are here to answer your questions about selling your home and help you through the decision.

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