After many weeks of heavy speculations, we finally have some proper numbers to work with. This is certainly good news for real estate agents and home sellers. More and more real estate news popping up declaring that the real estate market recovered and best of all, it seems some place even have a higher rate of competition than before. This means that due to high interest a home for sale receives multiple offers. That is a scenario every home seller is dreaming of!
For buyer its not so good news – but hold on, this all depends on where you are looking to buy. Situations vary depending on the location. Some markets are still low due to the covid-19 and have not come out of their historic price drop yet. Those would definitely be perfect grounds for bargain hunters.
Where are the hot spots?
In general, most locations that were in high demand before the covid-19 pandemic are heating up again, some are even described as being on fire. This is the case for the
Toronto Real Estate Market
reported here: https://torontostoreys.com/toronto-real-estate-market-hot-june-2020/
Another report talks about “Bidding Wars” in several states of the USA with
Boston metro area
having the highest rate of competition.
Locations with a bidding-war rate above 50% are Salt Lake City, Denver, Seattle, Austin, TX, San Francisco/San Jose, Minneapolis, Los Angeles and Portland, OR. This information was found at https://www.redfin.com/blog/competition-increases-homebuyers-coronavirus-drives-housing-shortage/
It is also noteworthy to mention that offers for single-family homes faced higher competition than before the pandemic. To have your own place means more right now than ever, we can see this among all the new buyers who are trying to find a home with more privacy.
Where are prices still low?
Some locations that were hit especially hard by the pandemic are still at a price low.
For example, this is the case for
Spain Real Estate Market
Although too early to make a certain prediction, there have been reports that are not sounding promising. As reported by ‘Bloomberg’ at https://www.bloomberg.com/news/articles/2020-06-12/spanish-real-estate-is-heading-for-its-second-crash-in-a-decade
it looks like Spain’s home market is heading toward another crash. Experts who study the property market reported that the hit to housing prices in 2020 could range from 6.5% to 15%.
If you were thinking to buy a home in Spain this seems like a good time.
Do you know of any other locations where we can find cheap real estate? Please leave a comment below and let us know.