There is a lot of uncertainty in our world today. With the outbreak and rapid spread of Coronavirus, the entire world economy has all but shut down.
Due to the shelter-in-place order in California, the real estate sales market has basically ground to a halt. Sellers are pulling their properties off the market or changing them to a hold status. Open houses are prohibited, making it very difficult for buyers to view properties they are interested in.
Some of the worst case projections indicate that the next few months could show a massive correction to the real estate market. So even if you hold off and wait to sell your home when everything calms down, it could be worth significantly less than it was at the very beginning of the year.
But what about homes for rent? What kind of impact has all this had on rental properties and landlords?
One thing will never change: people will always need a place to live. Whether they own the home they live in or rent it, the need for housing will not change.
California is also still in a housing crisis with a demand for housing still outpacing supply. Coronavirus hasn’t affected that at all.
As a full service real estate company with a substantial property management division, we deal a lot with rentals and what we are seeing is a slight slowing in activity but homes still renting in a matter of a few weeks. This is true even considering the shelter-in-place order and decreased ability to show homes. This is logical; people are much more likely to rent a home “sight unseen” than buy one.
If you have a vacant home right now, whether you were considering selling or renting it before everything happened, you are probably pretty stressed and wondering what to do. Selling may seem to be the worst option given the unknowns (and inability to even make the transaction happen) so renting may look more appealing.