The real estate market is closely connected with the overall health of the economy, consumer confidence, and employment levels. As a result, the real estate market typically sees a ripple effect from disruptions in other sectors.
While we have seen massive fluctuations in the stock market, real estate has remained a relatively stable investment type. While massive variations in markets precipitated from a worldwide health pandemic are expected, people still need living accommodations, which affords for more mild fluctuations in the housing market.
In addition, real estate is known to be extremely resilient and able to more easily “bounce back” with market conditions than other sectors.
The US is currently in a buyers market, adding more reason to not shy away from property investments because of mandates from state and federal governments with regards to COVID-19. Additionally, the lower prices often seen in a buyers market, along with the willingness of the banks to offer 100% home loans to qualified buyers, lower transfer duty costs, and lower interest rates allow for investors to remain positive about the immediate future of the real estate market.
“Our advice is to ensure that you buy at the right price, that your affordability is in order and that you don’t extend yourself too much when acquiring a new property. Putting down a deposit is always a good idea and might mean that you can get a better interest rate on your bond.”