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According to NAR Sellers Are Not Panicking

Posted on April 26, 2020

As Reported in today’s HomeActions Newsletter:

Nearly 3 in 4 Realtors® This Week Report Sellers Haven’t Lowered Listing Prices to Attract Buyers, Suggesting Calmness and “No Panic Selling by Homeowners.”

WASHINGTON (April 23, 2020) – Nearly 3 in 4 Realtors® currently working with sellers this week – 74% – reported their clients haven’t reduced listing prices to attract buyers, according to a new survey from the National Association of Realtors®. This suggests interested home sellers are remaining calm and avoiding panic selling during the uncertain economic environment brought about by the coronavirus pandemic.

“Consumers are mostly abiding by stay-in-shelter directives, and it appears the current decline in buyer and seller activity is only temporary, with a majority ready to hit the market in a couple of months.” said NAR Chief Economist Lawrence Yun. “The housing market faced an inventory shortage before the pandemic. Given that there are even fewer new listings during the pandemic, home sellers are taking a calm approach and appear unwilling to lower prices to attract buyers during the temporary disruptions to the economy.”

NAR’s latest Economic Pulse Flash Survey – conducted April 19-20, 2020 – asked members how the coronavirus outbreak has impacted the residential and commercial real estate markets. Several highlights include:

More than a quarter of Realtors® – 27% – said they were able to complete nearly all aspects of transactions while respecting social distancing. The most common technology tools used to communicate with clients are e-signatures, social media, messaging apps and virtual tours.

Residential tenants are facing rent payment issues, but many delayed payment requests are being accommodated. Forty-seven percent of property managers reported being able to accommodate tenants who cannot pay rent, a 6% increase from a week ago. Nearly a quarter of individual landlords – 24% – said the same, unchanged from last week.

At The Harris-Peppe Team in Naples Florida we have seen mixed signs from sellers. Vacant homes and condos have remained on the market, while  many of those that are owner occupied have withdrawn temporarily as they wait out the “stay at home” order.  Some of the listing appointments we have gone on, the sellers are looking to us to tell them if we think it is better to list now or wait until the fall when many buyers begin looking in Florida for a winter retreat. This is a tough decision. There will be pent up demand for sure, which could favor Naples; Naples is always so resilient after any market change. But none of us have experienced anything like this before, and there are no crystal balls, so it’s out of anyone’s area of knowledge to make predictions.

We have shown property virtually as well as met customers at occupied homes and required them to wear masks and not touch anything. “I think one of the hardest things to get used to, in addition to all the new forms and disclosures, is not being able to shake a person’s hand”, said Michele Peppe.  Michele added that she can always tell a lot about a person by their handshake and that has eliminated one of her methods of ‘reading’ a person…”you also cannot tell if someone is smiling under their mask”.  

For information about the current real estate market in SW Florida, we welcome your call. Contact us at either 1-239-370-0574 or 1-239-404-4889 or email us at harris-peppe@naplesrealestate.com

Thank you. Stay Safe. Stay Healthy!

The Naples Real Estate Blogger