Lehigh Valley Real Estate Blog, Home Buying & Selling Information

Will Lehigh Valley Home Prices Go Down as a Result of the Corona Virus

 A common question I am asked is Will Lehigh Valley Home Prices Go Down as a result of the Pennsylvania shutdown and the Corona Virus/Pandemic?

For now, I don't believe we will see a DECREASE in home prices in the valley.

Before the Corona Virus, the Lehigh Valley had a lack of inventory for over two years and many home buyers were facing multiple offers on properties that were only on the market a day or two.

Before the virus, I was working with a Grade A home buyer (20% down conventional loan, large deposit). They lost a home they really wanted to 16 offers and then to 12 offers on the next home they really liked. Both homes sold for over $15,000 of what they were listed for. Inspections were waived!

The shelter-in-place has stopped Lehigh Valley Home Buyers from being able to physically view homes but they can still purchase one. How many home buyers have purchased homes in the past two months without actually seeing them in person? Good question.

How many Lehigh Valley Home Sellers held off listing their home? Stranger - Danger! I don't want anyone in my house possibly spreading germs. I'll wait for now! Another unknown.

Ok. So how does this play into pricing. 

When the real estate market opens back up any buyer that was lucky enough to maintain financial stability during this pandemic will probably still be in great shape. There may be some buyers that had to dip into their "buying a home money" and no longer have the amount they need to purchase a home or something may have affected their credit.

So, there may be fewer Lehigh Valley Home Buyers, but there were too many buyers for the low home inventory we had before the virus. 

We will probably see an influx of Lehigh Valley Home Listings from sellers that held off putting their home on the market during the shutdown. 

For at least the first few months after the shutdown is lifted, this may create a better real estate market. Level the playing field a little bit.

If there are less home buyers but more homes for sale we may see a little neutralization in a market that had fully become a sellers market before the pandemic. This probably won't affect home prices but may give the buyer a little more power to not pay $10,000 more for a home and waive the inspections putting all the risk on the home buyer.

For all of your Lehigh Valley Real Estate information, visit www.lehighvalleyhomesonline.com.

Selling a Lehigh Valley Home During the Corona Virus

A Lehigh Valley Home Seller CAN still list and sell their property during the Corona Virus shutdown.

The problem is that the home can't be physically shown and your real estate agent, photographer, inspector and even the Bank's appraiser aren't currently allowed to enter the home. All of these services are typically essential in day-to-day real estate transactions.

For a Home Seller to list a home (during this shelter-in-place from the PA GOVT)  the  home seller must:

- Provide all pictures of the interior of the home - even a professional photographer cannot go into the home
- Since physical showings aren't allowed be willing to Skype a home buyer or provide additional media
- Provide any type of virtual/remote media to provide the home amenities without a physical visit from a buyer

Even if a Lehigh Valley home is vacant it cannot be physically shown.

The Home Buyers I have spoken to in the past few weeks all said they will wait until they can physically view the home.

"We aren't going to purchase a home without actually seeing it in person!"

A Lehigh Valley Home Seller has to make a tough decision. Do they need to sell now or should they wait until the restrictions are lifted?

Buyers ARE purchasing homes without physically going to them. Buying them as-is (since inspections aren't allowed) and taking a potential risk.

Does this benefit a Home Seller? Do liabilities issues come into play with buyers relying only on seller input for the purchase? Is the roof in good shape...etc?

The inspections allow a 3rd party to be involved in the condition of the home. The inspection is relied upon to answer many of these questions and put a wall up between the buyer and the seller. The home inspection protects both the buyer and the seller.

There are a lot of unknowns proceeding in a home purchase at this time. Ultimately, it is left up to the home buyers and sellers on how they wish to proceed.

For all of your Lehigh Valley Real Estate information, visit www.lehighvalleyhomesonline.com