How to buy a house during the Coronavirus
With court houses closed down and the economy in a tailspin how can you buy a house during the coronavirus is a question that many would be homeowners and those that have already been pre-qualified have been asking. First lets discuss what the Coronavirus is and what we know.
What is the Coronavirus Covid-19
The Coronavirus or COVID-19 is a disease caused by a respiratory virus first identified in Wuhan, Hubei Province, China in December 2019. COVID-19 is a new virus that hasn’t caused illness in humans before. Worldwide, COVID-19 has resulted in thousands of infections, causing illness and in some cases death. Cases have spread to countries throughout the world, with more cases and deaths being reported daily and the average age of infection down into the 30s.
The coronavirus pandemic has spread rapidly across California. Experts say the true number of people infected is unknown and likely much higher than official tallies. With over 251,000 known cases and 6,000 deaths to date.
Florida’s surge of COVID-19 cases shows no signs of slowing down. The state Department of Heath reported Florida set another daily record Thursday, with 10,109 cases, surpassing Saturday’s record of 9,585 cases. That brings Florida’s total confirmed coronavirus cases to nearly 170,000 and a death toll of 3,617 (with 67 new deaths reported Thursday). As the Fourth of July holiday weekend begins, Maryland officials confirmed 538 new cases of the coronavirus Friday, the second straight day the figure has topped 500 after being under that total for two weeks. With the additions, the state has confirmed 68,961 cases.
How COVID-19 spreads:
- Between people who are in close contact with one another (within about 6 feet)
- Through respiratory droplets produced when an infected person coughs, sneezes or talks
- These droplets can land in the mouths or noses of people who are nearby or possibly be inhaled into the lungs
- Some people without symptoms may be able to spread the virus
The best way to prevent illness is to avoid being exposed to COVID-19.
Symptoms of COVID-19 can include:
- Shortness of breath or difficulty breathing
- Muscle pain
- Sore throat
- New loss of taste or smell
- In more severe cases, pneumonia (infection in the lungs)
Other less common symptoms have been reported, including gastrointestinal symptoms like nausea, vomiting or diarrhea.
The vast majority of people recover from this infection. Most people will have mild or moderate symptoms. Older people and those with pre-existing medical conditions have a greater risk for more serious illness, as they are will all diseases and infections. Don’t let this fool you, this disease is still deadly.
Things To Know When purchasing a house during Covid 19
Appraisals: Can we get an appraisal during Covid 19..Appraisers these days are third party to the lender. Lenders utilize companies like Nationwide and Appraisal Nation to contract appraisers for banks nationally. This keeps the appraisers away from the lenders and focused on their job. Appraisers may be taking a little longer to complete their tasks. Do not allow the appraiser to do a “drive by” appraisal as we have seen a number of them try to do. The banks review department may not accept it and you may not be getting an accurate appraisal of the home that you are looking to purchase. Where appraisals used to take 3-5 days with a 2 day bank review, these can now take 7-10 days so prepare accordingly.
Title: Title needs to consider if the property has any title issues and if they will be able to get lien information from the local courthouse or is the courthouse closed. In certain states this can cause a delay in closing. Be patient.. Give the lender and title time to work through issues. The way the system is setup and outside of local area banks, mortgage banks are trying to get deals closed and push money out the door. Noone makes money if a deal does not close so understand that everyone is working towards the same goal to get your house closed.
Home Viewing: Check with your real estate agent. Many homeowners are requiring masks. Many realtors are putting virtual walkthrough tours together that you can view from the safety and comfort of your home.
The real estate market:
Today’s real estate market is still very active; many states have deemed that he real estate industry is an essential business. But the market is slowing nationally. In March of this year, 5.3 million existing homes were sold (down 8.5% from February), and 627,000 new homes were sold (a 15.4% decrease). And in an April survey of real estate agents by the National Association of Realtors (NAR), 90% of agents reported a decline in home buyer interest because of Coronavirus fears. In addition, 80% said they saw fewer houses on the market. A tightening of inventory is inevitable in the coming months making it a sellers market.
We are seeing some buyers hold off on their house search because they’ve lost income or because their financial situation has changed, We will also have a number of sellers choosing to post-pone putting their house on the market because they don’t want to risk increased exposure to the coronavirus.
On the flip side mortgage rates are lower than they have been in our lifetimes. To take advantage of these great rates and if your heart is set on purchasing your own home. Click Here to get qualified now. Once qualified you can take your pre-qualification letter to your local realtor and start shopping today.
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