Watch the video and share your thoughts!
Together, we will get through the rough times ahead. In the meantime, here are our
four predictions for what the market will look like when we eventually do.
As your local NJ Real Estate experts, we thought we’d share with you our top 4 predictions for the post-COVID world:
1. Residential real estate will be the major driver of the economic rebound. Home is our shelter, it’s where we feel safe, and we are willing to invest in that. We have had more time to think about what we need in a home and what we no longer find desirable. Families suffering from cabin-fever today will be the new home buyers of tomorrow. Residential real estate is almost always a major driver in economic cycles, but its impact in the coming years will be unparalleled.
2. There will be a shift from urban to suburban in residential real estate. We expect that buyers’ priorities will shift dramatically as a result of COVID-19. Dense, city living in close quarters—especially with children—will become less desirable, and demand for closed-in suburban housing such as ours will explode. Think Maplewood, South Orange, Millburn, Short Hills, Summit, Chatham, Madison, Westfield, Morristown, Livingston, New Providence, etc.
Trending features include:
– Multiple home offices or work areas
– Inlaw suites
– Versatile floor plans
– Private yards
3. Market demand will outpace inventory as we come out of shelter-in-place orders, causing a continuing shortage of homes, as pent up demand rises. Buyers who still have job security and were planning to purchase this season already have their down-payment in cash and are pre-approved and ready to go. They just need a house. This is great news for sellers who are hoping to sell this season! We anticipate that many homeowners will continue to be cautious about having buyers walk through their homes, even with strict COVID-19 safety measures in place, yet the demand for homes in our towns, with buyers wanting to get in before the new school year, will continue to grow.
4. The virtual “College Experience.” Will all colleges now have virtual options? And if so, imagine the cost savings. This will have an impact on the housing market in two major ways:
– Downsizing is postponed for 4 years as their college-aged children attend college from home.
– Fewer student loans to pay back, resulting in this generation having less debt and landing in a better position to purchase a home than the previous generation.
We’d love to hear your thoughts. Please call or email us!