As you’re aware, there’s been a lot of talk in the news lately about the coronavirus, and many people have reached out to me wondering how this will impact our real estate market.
When we try to predict what will happen in our local market, whether it’s due to the coronavirus or any other factor, we look to what’s happening on our nation’s coasts, meaning markets like Los Angeles, New York City, and San Francisco. These are good leading indicators of trends that will eventually impact our market. When we see a shift in the luxury markets out on the coast, that’s something we’ll probably see in South Central Wisconsin sooner rather than later.
Whether you’re buying or selling, if you’re concerned about the coronavirus’ impact on our market, my first piece of advice is to reach out to me. We can talk about your goals and formulate a strategy to accomplish them.
If you’re a seller, one thing we do know is that the median home price in Dane County is $285,000, so if your home is valued above that or the $500,000 mark, I recommend listing it sooner rather than later. We still have limited inventory and there are plenty of buyers, so strike while the iron is hot.
On the flip side, because of the volatility we’re seeing in the stock market due to the coronavirus, mortgage rates remain lower than last year. This is making the biggest impact below the $285,000 price point. Inventory is already tight in this market, and low interest rates will bring out more buyers and increase competition.
What we don’t want to see happen is sellers thinking now is a great time to raise prices, because that might not play out how you imagine it. Like I said, I recommend first giving me a call so we can find out what your home is worth, make a plan, and capture the attention of all the buyers out there taking advantage of these low interest rates.
Moving forward, we’ll keep an eye on this situation. If you have any questions about this topic at all, don’t hesitate to call or email me. I’m here to help.