Buying or selling a home can be tricky, in the best of circumstances, but buying or selling in a post-COVID-19 world is fraught with additional uncertainties that increase the risk and difficulty of a real estate transaction.
Uncertainties Of Buying Or Selling A Home Amid Coronavirus Tensions
Buyers and sellers are discovering that completing real estate transactions during the COVID-19 pandemic means adjusting to changes in mortgage requirements, income situations, individual market conditions, and closing procedures.
Significant Numbers Of Lenders Are Raising Their Credit Score Requirements.
This means that buyers who met their lender’s requirements—and received a pre-approval letter before COVID-19—may no longer be able to finance through that lender. They might be able to locate another lender. However, they will have to go through the pre-approval process again, which will mean more time and paperwork.
Skyrocketing Unemployment Means That Some Buyers No Longer Meet The Debt-to-income Ratio Required By A Traditional Lender.
If a spouse or partner loses his or her job, many families will not qualify on the strength of only one income. Even short-term furlough situations can derail the financing process. Lenders will require verification that a borrower is back on the job and has completed a certain number of weeks of work before proceeding with the loan.
Sellers in strong markets may be unwilling to wait several weeks to see if a buyer is able to meet the employment requirements. They will end the contract and look for another buyer.
COVID-19 Market Dynamics Will Impact The Sales Of Homes In Certain Locations.
COVID-19 has affected metropolitan areas significantly, especially in cold-weather states like New York and Massachusetts. Millennials were already moving out of urban areas before the pandemic. Now they are joined by folks wanting the protection afforded by avoiding throngs of people.
If your market has a shortage of available homes, you may be able to sell quickly, even if your home isn’t in pristine condition. In a weak local market, your home may linger. If your home faces issues with foreclosure, unpaid taxes, hoarding, or major repair needs, it may languish until you are forced to withdraw it from the market.
The Details Of The Purchase Process Are Changing.
LifeCycle Transitions Can Make Buying Or Selling A Home Easier.
LifeCycle Transitions provides several programs designed to make selling a home easier. We also offer one-time or ongoing services for home purchasers.
The Home Rescue Program provides the complete package to help remediate any effects of hoarding, lack of maintenance, or vandalism. Our associates also assist sellers with homes that have been condemned, are facing foreclosure, or have been inherited and need to be sold.
Our knowledgeable staff will visit your home to assess your situation. If we offer to assign the purchase to an investor interested in the home, we guarantee a 30-closing at the best possible price. During the process, teams of LifeCycle Transitions workers handle all the details of the process.
The Hoarding Clean-up Program is one of our signature services. Our professionals will sort, pack, and move your items to storage; haul away trash, and then thoroughly disinfect your home. In less than 2 weeks, your home can be clean, comfortable, inviting, and market-ready.
Cleaning, Repair, or Hoarding Removal Services are available for buyers who purchase a home “as is” and need a one-time cleaning, hoarding remediation, or repairs. Ongoing cleaning and maintenance services are also available.
If you have questions about buying or selling a home in the COVID-19 world, please contact us at (877) 273-7810 or at lifecycletransitions.com for a free consultation.