While the world would be a better place if COVID-19 never happened, people are learning to play with the cards they’ve been dealt. Many P.
COVID-19 has affected the real estate market in several ways. For example, it shut down the industry in many parts of the United States for several months. As a result, selling and buying homes was extremely limited.
One of the most unfortunate side effects of the COVID-19 pandemic is the financial impact on homeowners. As a result of a job loss or pay cut, many people have been unable to stay current with their mortgage payments.
While mortgage lenders are doing their part to help during this difficult time, it won’t be enough to save everyone. And for that reason, the number of foreclosed properties will rise in the months to come.
Adding to this problem, many states are lifting orders that were in place to protect against evictions and foreclosures.
For example, KWQC-TV6 out of Iowa recently shared the following news:
“In March, Gov. Kim Reynolds issued a public health emergency declaration pausing most evictions, including those for nonpayment of rent, to keep people in their homes during the Coronavirus pandemic. The order also included a ban on foreclosures and utility shutoffs due to nonpayment. Yesterday she announced that the order would be lifted at May 27.”
While other relief programs are available, there are questions about whether they’ll help everyone facing foreclosure.
According to foreclosure expert James Foxx of ForeclosureDeals.com, we’re nearing a change in the real estate market that’ll show us what’s to come for the rest of 2020 and into 2021:
“It’s been a few months since the start of the COVID-19 pandemic, and we’re beginning to see the impact on the real estate market. While some markets are holding steady, others are taking a nosedive.”
Foxx explains that the cities with hot foreclosure markets pre-COVID-19 will remain this way in the future.
“Chicago, IL, and Jacksonville, FL, are two examples of cities with a high volume of foreclosed properties heading into 2020. The pandemic didn’t do anything to change this, and in fact, we’re likely to see even more foreclosures hit the market in these areas, among others.”
For real estate investors and first-time homebuyers, finding a silver lining in the COVID-19 pandemic is a possibility.
Not only are a growing number of foreclosures hitting the market, but prices have the potential to stay down as many people shy away from buying a home during this challenging financial time.
As the world continues to fight to put COVID-19 in the past, keep a close eye on the real estate market, with specific attention on foreclosures.
Even with help available, many homeowners will, unfortunately, lose their homes to foreclosure.
Investors who are interested in foreclosed properties can learn more and conduct a thorough search by visiting foreclosuredeals.com