04/14/2021
The coronavirus pandemic has upended the housing market, opening up new opportunities for many, pushing some to move back home and causing others to reevaluate how they want their home to look. With vaccines being widely distributed, new Zillow® surveys reveal what’s likely to change concerning housing inventory and what’s expected to remain when the pandemic ends.
Telework is here to stay, which should continue to boost home buying demand…
According to Zillow’s Ideal Home Survey, which asked adults to describe their ideal living situation, remote workers are more likely to consider moving because of the pandemic. Of employed people who work remotely at least one day a week, 23% said they are more likely to consider moving because of the pandemic – only 13% of employed people who always work at their employer’s location said the same.
More homes will come onto the market to help meet demand
In today’s frenzied housing market, buyers are often plucking homes off the market just days after they are listed, thanks in part to technology that’s making home buying and selling faster and easier. The speed at which homes are selling is one factor contributing to low inventory, which has steadily declined during the pandemic and now sits 30% lower than a year ago.
Homeowners representing eight million households say they’re more likely to move and sell their home as a result of the pandemic, and widespread coronavirus vaccine distribution will make homeowners in 14 million households feel comfortable moving who don’t necessarily feel that way now.
Home prices will continue their climb
Strong competition for available homes pushed up prices last year — the typical home appreciated by more than $20,000 in 2020. Even with an expectation for more inventory to help meet buyer demand, ZHPE panelists on average expect home prices to grow 6.2% in 2021 — a full two percentage points higher than when they were surveyed in Q4 2020 — and several panelists call for double-digit price growth this year.
Buyers will continue to want digital tools that make home shopping easier
“Zillow Surfing” has surged during the pandemic as home shoppers and daydreamers use Zillow as a new form of escapism. Real estate technology, like Zillow’s 3D Home tours, are making home shopping easier and faster and can give home shoppers an experience similar to an in-person tour from their couch hundreds or thousands of miles away. Nearly 60% of millennials say they would be at least somewhat comfortable making an offer on a home without touring in person if they’ve viewed a virtual tour, and almost 40% even say they would be comfortable buying a home online.
Read more on : https://www.realtrends.com/will-we-see-a-boost-in-housing-inventory-as-the-pandemic-subsides/
