With many states starting to reopen, virtual practices and health guidelines for the real estate industry have been put in place to increase the safety and comfort level of buyers and sellers. After many buyers put their moving plans on hold due to the pandemic, data indicates homebuyers are jumping back into the market. This year, summer is the new spring for the real estate market. 

Opportunities for Buyers

Besides the forced unemployment and stay-at-home orders, another reason why buyers are coming back to the market is the historically low mortgage rates. According to Sam Khater, Chief Economist at Freddie Mac purchase demand has increased remarkably fast, for the fourth consecutive week, the 30-year fixed-rate mortgage has been below 3.3%. Moving forward, Khater also believes that “mortgage rates have room to decline as mortgage spread remains elevated.” Clearly, low mortgage rates provide potential buyers a great incentive to continue looking.

Opportunities for Sellers

On the other hand, finding a home to buy has become a challenge as the number of homes on the market is significantly below buyers’ demands. Although more people are now putting their homes up for sale this month compared to last month, according to Zillow “the total investor remains about 20% below last year's levels. If you have been questioning whether or not to sell your home this summer, now may be the best time to do so. 

In short, what we are seeing in the market recently is that buyers feel more comfortable than the sellers. Buyers are now ready to make up for the lost time from the spring. With so few homes on the market, interest in your home may be higher than you think. Summer is ready to be the next 2020 buying season.