We’ve discussed buying a home during the holidays; let’s take a closer look at the general advantages and disadvantages of buying during the current pandemic.
Advantages:
- Histroic low interest rates: With no end of the pandemic in sight, interest rates are expected to remain low for the forseeable future.
- Low competition: Between Covid-19 and the economic downturn, there are less people looking to buy or sell. Once the crisis passes, house hunters will be out in full force. If you’re able, this might be a golden opportunity to buy.
- Finding a good real estate agent: Again, with less competition, you should be able to find an agent who knows the market and is willing to spend time with you.
- Appreication: As housing supply remains low and new construction is limited, if you’re able to buy now, your home will doubtless increase in value as the world returns to normal.
Disadvantages:
- Economic uncertainty: Would-be buyers need to be as sure as possible that their employment siutation is secure.
- Buying sight unseen: Some buyers are so eager to purchase a new home that they’re buying a property without actually visiting it. Are you willing to take that risk?
- Project delays: Delays are bound to happen from inspections to financial arrangements. Are you able to cope with the inevitable slowdowns?
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