As of April 2020, the entire world has been impacted by the Coronavirus, and the real estate world is no different. If you are ready to sell, can you? Should you? Here we investigate what is happening to buyers, and whether this is still a reasonable time to sell. 

Are people buying right now?

Buyers need to be ready, willing, and able to move forward with transactions. With the current environment, how many buyers are all three?

Many traditional buyers are still ready to buy. One way to divide up buyers is to separate those who need to buy from those who want to buy. There are buyers who need to move for jobs, who need to downsize or upsize, or who have other immediate reasons to move. There was demand before the Coronavirus hit, and that demand didn’t dissipate into thin air.

There are also buyers who are not willing to buy right now, even if they still are ready based on circumstances. Following through on a transaction can be tough, given restrictions on some of the functions that need to occur in order to move transactions forward, such as showings, inspections, and closings. Buyers who are willing to work through these challenges can do so with virtual solutions, yet it all does make for a different buying experience. Many larger buyers, such as iBuyers, have paused buying because their business model has been disrupted, and they are not able or willing to adapt to new restrictions. Keller Offers is still able to facilitate offer requests through its Cash Offer program, yet many others are in a holding pattern.

The last question is whether buyers are able to move forward. Interest rates are still reasonable, but a pair of factors are limiting many buyers. First, many buyers are less likely to qualify for loans because of less secure income or credit impacted by economic uncertainty. Second, many lenders are tightening up their loan programs, limiting some of the more creative routes that have opened up options for buyers. Even if they are ready and willing, many buyers are not able to buy right now. 

What does this mean for sellers? 

The buyer pool is likely restricted by the current environment, but there are still buyers out there. As a seller, you also have to look at if you’re ready, willing, and able. 

• Are you ready to move forward—do you have the time and energy to do so? 
• Are you willing to work through a virtual transaction? 
• Are you able to take your next steps, including moving or acquiring your next property?  

In the end, we recommend rephrasing the decision slightly. The question is not whether you’re ready to sell—it’s whether you’re ready to list. If you are close to being ready to move forward, getting a cash offer or listing your property can give you the information you need.