How Has COVID-19 Affected Real Estate Sales?
Most of us are living life at least somewhat differently, if not in a very different way, after the COVID-19 outbreak. That means staying at home more in quarantine sick or not. Thankfully, we have not had many Coronavirus cases in Forsyth County or the Triad area. Even though real estate is considered "essential", Guilford County has implemented stricter Stay at Home restrictions than our state governor.
In Guilford, real estate agents are not allowed to show a home unless it is under contract, so that means making an offer on it site unseen. Have homes been sold that way even before Coronavirus? Sure, but it's definitely not the norm. This is making it very challenging to sell a home in the Greensboro area. Again, thankfully, our Forsyth County leaders and local Mayors have not seen the need for these harsher restrictions. With less than 0.04% cases in Forsyth, I don't see the need for stricter requirements. That being said, we want everyone to feel safe in either listing a home or buying a home, and we have a COVID-19 Policy for sellers and buyers for anyone who is interested. That includes offering In-person Virtual Tours. Maybe you aren't able to view a home because of travel restrictions where you live, but still need to move soon. Please contact us, and our agents are glad to provide virtual tours via Zoom, Facetime, Google Duo, Skype, or whatever your preferred video chat app is.
COVID-19 Real Estate Contract Addendum
If you are in the market to buy or sell a home, or if you are already under contract to purchase a home, a COVID-19 Addendum can be added. The details of an addendum can vary, but it can typically be used to extend closing dates, inspection periods, or financing contingencies. If you can't close because you lost your job or income due to the Coronavirus pandemic, the addendum can also be used to let the buyer and seller out of the contract penalty-free. The North Carolina Association of Realtors have created such a form.
Has COVID-19 Affected Lewisville-Clemmons Home Sales?
Much of the change in our daily lives started about the first week of March due to COVID-19 governmental restrictions. There were slightly more new listings coming on line in March than February, but an overall decrease of over 20% from March 2019. This tells me people are hesitating to sell. Pending sales were also down from last year over 30%. The good news is there were 37% more sales last month than March 2019 and 32% more than last month. Year to Date sales are up as well. That could drastically change when next month's report comes out.
I don't mention the condo/townhome sales because there really isn't enough data from month to month because of the limited number of condos and townhomes in the Lewisville-Clemmons area. The condo/townhome numbers can fluctuate greatly on a month to month basis due to this.
Has Coronavirus Affected Lewisville-Clemmons Home Prices?
As you can see on the chart, both the Median Sales Price for March and Year to Date are up from last year at $312,535 and $289,730 respectively. The average price is down from last year, but up Year to Date. And the Percent of List Price Received is still very strong at over 98%. For homes in certain price ranges, mostly entry level up to about $250,000, houses are getting multiple offers and selling over list price. This has been on-going for months now due to a large number of buyers (many Millenials who have reached home buying age), low interest rates, and low inventory. There just aren't enough homes for sale in these price ranges, which has driven prices up for entry level and lower priced move-up homes. There is still roughly 3 months of inventory, which indicates a strong Seller's Market. There should be at least 6 months of inventory for the market to be more balanced. If you would like to be on our Market Report email list, so that you don't miss an update, please contact us to be added to the list.
If you're in the Lewisville-Clemmons area or thinking about moving to the Lewisville-Clemmons area, please join us on our We Love Lewisville-Clemmons facebook group. And as always, if you are thinking about buying or selling a home, please don't hesitate to contact us. We're here to help!
- Tony Green, Broker-in-Charge