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3 Reasons to Buy Your New Home During the COVID-19 Pandemic

The COVID-19 Coronavirus pandemic has disrupted our nation, and the world. Nobody’s happy this has happened, and we’ll all be glad when it’s over and dealt with. But there are actually some benefits to buying your new home right now, during the crisis.  

Less Competition to Buy

  Because of the pandemic, many people have had their pay reduced, or have even lost their jobs. Others are simply more worried about their financial situation because of the turmoil due to COVID-19. If you still have stable income, and are in a position to buy your new home, this means you’ll face less competition in the home-buying market right now. When the economy is booming and more people want to move to a nice area, the increased competition to buy homes can lead to “bidding wars,” with the eventual buyers often paying a premium above the asking price for their home. When there are fewer buyers, like what we see today, the opposite happens.  

More Competition to Sell

  Some of those who have seen a significant financial impact due to the coronavirus have plenty of resources, but it’s all tied up in their homes. If they decide to downsize or relocate, they need to sell their current house. That means more competition to sell properties, and that can lead to reduced prices for the homes which are on the market – which benefits you, if you’re looking to buy your new home. To stay safe during the pandemic, many of the traditional efforts people may take to sell their home (like open houses, or allowing potential buyers to walk through the home while the current owners are still living there) may disappear altogether. There is more emphasis on scheduled visits to view a property (is the owners can be absent at that time) or virtual visits and home tours online. If you are comfortable using methods like these to see potential homes, that puts you in a great position to take advantage of the current market.  

Incredibly Low Mortgage Loan rates

  It’s no secret that the lockdowns and reduced operations for many businesses and industries have hurt the economy. One of the steps our nation can take to help with recovery is reducing the rates financial institutions must pay to borrow money. Lower rates for those institutions means lower mortgage rates for you, a home buyer. In fact, mortgage rates have hit historically low rates during this crisis. And since the mortgage interest rates typically stay the same for the life of your loan, that means people who buy new homes during the coronavirus pandemic will end up saving money over the lifetime of their loan. Saving money on your interest rate for your mortgage might mean you can purchase a nicer home, or it may mean you can get the home you want for less – freeing up your money for other things. Like everyone else, we at United Credit Union are enduring this pandemic with you. But for some people, the purchase of their new home during this crisis will be the silver lining to this dark cloud of COVID-19.
Are you interested in buying a new home now? We can help. Call us at 903-595-3604, or visit our website at UnitedCU.coop. We are ready to serve you today!
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