Rent or buy during Covid-19 pandemic

Since the start of the year of 2020, it has been a struggle for everyone around the world as a pandemic has struck since the beginning of March, slowly fading away at the moment but still taking full effect as people around the world still are taking necessary procedures to avoid any risky outcomes. The fallout from the pandemic has struck many upcoming business ventures, many businesses losing in the process and some eventually going bankrupt as there was a certain percentage of people around the world who have lost their jobs for the time being and the real estate industry is no different when it comes to the downfall of many businesses and potential investments.

For many other people living and working during such hard times, since it’s difficult to be doing such recreational activities during the pandemic, many people have stayed indoors actually saving money on the side for what was supposed to be spent on such things like going out for dinner, future vacation trips that were cancelled among the way as well as everything being delivered within the household so people would avoid any risky actions by going out and exposing themselves and their families to a virus that cannot be seen. Since this has been the case for many family households, it has proven to show that people are spending less which means they can be saving more for the down payment that they wanted for their actual property that they desire. It is beneficial to purchase a home at the moment due to the fact that mortgage rates have dropped because the economy has fallen since the start of the COVID-19 pandemic. Finding or having to sell a property has never been more challenging as the pandemic has struck most parties involved within the industry of real estate such as the homebuyers, home sellers, renters, real estate realtors, agents and inspectors and mostly because job security has been unstable to being able to overcome a mortgage payment that has to be paid regardless the times or circumstances.

Even if it is the best time to purchase a home because of the circumstances and the prices going in your favor but it doesn’t mean that the vision looking forward long-term for the real estate industry can remain uncertain. The real estate market nowadays offers a supply of homes for sale that are actually running low, which leads the industry to raise the prices and put ownership out of reach for many residents among any country.

It is well known that every neighborhood that you are looking to purchase a property, you would realize that you might be overpaying for most of the metric values at the moment. Prices have raised where they cannot be affordable for the common resident because of all the low interest rates among the real estate industry. But there are certain questions that you need to ask yourself before making any quick decisions before purchasing property in any community such as:

• How much money do you have saved for a down payment?
• If you have enough for the down payment, how much money do you have on the side saved for any emergency case that might occur?
• Do you plan on staying in the same community for a long time or a short time?
• Where do you see your career path going? Are you financially stable to make such a decision like purchasing a home?
• Do you have enough money to cover the expenses of maintenance and taxes better than you would if you were renting a place than actually being a homeowner?
• Are you married and looking to find a place for yourself and future children?

For many people within the real estate industry, depending on the capital and savings that would be what makes a difference for homebuyers and people looking to rent, because purchasing a home at any given time isn’t available for just everyone. While there are some obvious financial benefits towards purchasing your own property as the value appreciation can increase and the mortgage interest can lead to deducted tax payments, you end up losing that flexibility that actually comes with renting. Most people see when you purchase a home that you are pretty much stuck with that decision until you decide to rent it out and move out or having to sell it off all together, while others who most of the time can’t afford to purchase a place, do enjoy having to pay a certain amount for rent just for the sake of not making any future commitments that can harm your savings one way or another. As there are maintenance, insurance and even uncertain expenses which can lead to unfinished mortgage payments, which regardless how you want to see it, would be considered in a way cheaper than rent to be paid.

The COVID-19 Rules and Regulations regarding safety hazards and avoiding any further health risks, the coronavirus has changed many ways that we conduct our daily lives today within the real estate industry, but in the end it is a business as any other business but the real estate industry is used to adjusting to circumstances and they have made the basic adjustments towards the advancing developments of technology to achieve a virtual reality. The virtual world is quite different and safety oriented so that the potential buyer renter would be able to view the property without having to leave the comfort of their own homes. Depending on the Pandemic Stage restrictions that can be forced and put into place for certain countries, it would be better to conduct your business online and having to view your property virtually as well as all the signed and needed documents can be shared online as well as communication can be made through phones and texts and even video calls if that would work in your best interest.

For those looking to sell their property during the COVID-19 pandemic, there are three main options that can be made to run the best home inspections available such as virtual tours of the property, live viewings (if possible and not going against any health restrictions) because certain virtual tours about some of the properties that are listed can just be enough for the potential home buyer to purchase the household and give them all the information that is needed to be able to finalize the deal between both parties of the real estate transaction.

In conclusion, as much as it is restricted and difficult to purchase or rent a property at the moment, then it doesn’t make it the wrong time to do so either. Due to the fact that some rates have lowered and been affordable for certain families, then it would be better off to get the deal finished before rates go back to normal and having to be too expensive to afford. You can even purchase a household and put it on the market for rent so you can gain your mortgage payments through your rent payments and not having to go through any trouble with future financial decisions regarding the real estate industry.