The degree to which the COVID-19 pandemic has ravaged housing markets is impossible to overestimate. Millions of tenants were late on their rents and they were afraid of expulsion while they could not settle debt.
The already precarious inexpensive home supply is being pressured by mispayments. And the price of homeowners has risen, as inventories of homes for rent have fallen.
To have an idea of the aftermath of the pandemic on the housing market as a whole, we will be speaking to Winston Deloney. Winston Deloney is a real estate investor and an entrepreneur. He gives back in his own little way by sharing tips about real estate on his website.
I believe rents will increase. More precisely, the price of short-term rentals will shoot up. It’s just a proof that rentals could really build long-term wealth and not even a pandemic can stop its profitability.
During a pandemic, often people want to rent instead of owning a house merely because it is too costly to own a house. With the way companies are switching to working remotely, short-term rentals will become very common.
This will lead to a rise in short-term rental rates.
Condos are another type of house people will rush for. As the economy gradually opens up again and more workers return to work, more people look forward to buying a low-cost house.
Condos are one of the properties I believe these workers will opt-in for because of their cheap price when compared to any other property in the housing market.
I think more residents will sell their homes. When the pandemic is over there could be a rise in the number of residences for rent from record lower levels but probably below pre-pandemic levels.
More homeowners will list their properties to make extra money. And a limited number of those who were unable to sell after the pandemic due to fear of coronavirus infection would be available until they are vaccinated.
In terms of the demand for houses in the suburbs and the cities which do you think will attract more demand?
In my own opinion, I believe people will prefer the suburbs. We see that the work culture has changed.
When the pandemic stops, several workers may decide to work from home fully or partially. These people will have no reason to go to the cities.
In the long term, suburbs would get more commercial with more modern restaurants, coffee shops, and recreational places. It’s already happening in Chicago. With time, houses in the suburbs will become a top choice for people.
During the pandemic digital tools were used to make the house shopping experience easier. Do you think this is bound to happen?
The need for digital platforms for home shopping will be high after the pandemic. People have gotten used to using the internet to shop for things. House hunting online is no exception.