Fireworks aren’t the only things booming this Independence Day. The 4th of July holiday is, historically, one of the best times of the year for home sales. With the recent stay-at-home restrictions loosened or lifted across the country, this year’s holiday housing market is shaping up to be especially promising. Here are six reasons why.
1. The holiday falls on a three-day weekend.
With Independence Day on a Saturday this year, many people may tag on an extra vacation day or two to extend the weekend, which means there’s a bigger block of time available for open house viewing.
2. Buyers and sellers who put their home plans on hold in the spring are eager to move forward.
While they’ve been quarantined, buyers have been surfing real estate sites, eagerly tracking the somewhat-depleted market and hesitating to make a move, literally, until they had a better understanding of how the pandemic would impact their health and livelihood. Prospective sellers who have had more time on their hands have been busy with home improvement projects in anticipation of the lifting of stay-at-home orders. They’re primed to put their homes on the market.
NAR Chief Economist Lawrence Yun predicts a rebound in the housing market in the summer months. “In the coming months, buying activity will rise as states reopen and more consumers feel comfortable about home buying in the midst of the social distancing measures,” he says.
3. People’s circumstances have changed dramatically over the tumultuous past three months.
Some families may need more square footage or office space because more members are working from home on a more permanent basis. On the flip side, others may need to downsize because of a job loss or reduced work hours. It may be advantageous for some people to relocate from the city to the suburbs or country, as urban life became more confining, especially in smaller spaces. And still others might need to pull up roots to take care of an aging parent recovering from the coronavirus.
4. Parents wanting to relocate to a new school district have a contracted amount of time to complete the home-buying process before classes begin in the fall.
After a season of unprecedented changes and transitions for everyone, but especially for children, parents are focused on making the transition to a new environment as smooth as possible. This includes ensuring their kids have some time to adjust to their surroundings before heading off to a new school.
5. Buyers are taking advantage of historically low mortgage rates.
The Federal Reserve recently signaled earlier this month that near-zero interest rates are here to stay through at least 2022. This is great news for homebuyers who have been enjoying the lowest mortgage rates on record.
6. Buyers and sellers are trying to get in front of a possible second wave of coronavirus.
With the CDC warning of another wave of the pandemic this fall and winter that could be even more intense than the first, people want to be settled into their new surroundings before another possible round of lockdowns.
4 Ways You Can Prep for a Happy 4th
As a real estate professional, here are four things you can do now to get your clients ready for a productive holiday weekend.
- Encourage your sellers to take advantage of the long holiday weekend by offering extended open house hours. It’s easier for sellers to be away from home for longer periods of time over a holiday weekend, especially if they’ve made plans to visit friends or relatives, take a short trip, or enjoy outdoor activities.
- Ensure your buyers have met with a mortgage lender to get prequalified. Borrowers are having to meet stricter lending standards in this economic environment, so it’s important that they’re prequalified so they don’t waste their time – and yours.
- Help your out-of-town clients prepare for their home-buying search by scheduling their appointments in advance. Use the SentriKey® Real Estate mobile app to make your home showings easier and much more efficient.
- Make sure to block out some time for you, your family, and your friends. While social distancing may put a damper on traditional get-togethers this season, it’s important to schedule some leisure time so that you’re recharged and refreshed. Happy selling – and Happy Independence Day!