Possible homebuyers are reportedly expected to delay their purchases and open houses have been called off, as consumers remain in their residences to slow the coronavirus, Yahoo Finance reported. One market expert says that the COVID-19 outbreak will probably bring the housing market to a stop.
LendingTree Chief Economist Tendai Kapfidze said, according to Yahoo Finance, “We’re gonna have a shutdown in the housing market because people aren’t out there seeing the houses, and also because generally economic activity is contracting in almost every sector of the economy.”
In comparison to the weekend of March 8, there were 28 percent fewer open houses during the March 15 weekend in New York City. Many individuals in the United States are also worried about what the economy will signify for their jobs or finances.
Kapfidze recommends that in the interim that the government extend lenders lines of credit. As a result, they can provide relief to homeowners who can’t pay their mortgage payments.
And, due to coronavirus-related public health orders and the protection of staff, customers and partners, Zillow Group, Inc. said in an announcement that it will halt home buying in all 24 markets where Zillow Offers is currently in operation.
The move to stop making offers to sellers temporarily follows several countries and states, with the inclusion of New York and California, putting into place emergency orders mandating all non-essential business activities to temporarily stop and for individuals to remain in their residences because of the coronavirus pandemic.
Zillow Group CEO and Co-Founder Rich Barton said in an announcement, “Our top priority is ensuring the safety and health of our employees, customers, and partners. Given the concerns for public safety and rapid developments by governments that restrict local real estate activities, we determined it was prudent to pause our home buying to preserve our capital.”
The real estate platform will keep marketing and selling homes via Zillow Offers; however, it will stop plans to open more Zillow Offers markets for the time being.