The Local Real Estate Market and Coronavirus
Local experts offer their insights
Tim Collom
Tim Collom Realtor Group
www.TimCollom.com
How has the Coronavirus crisis changed how you work?
It has changed everything. We are working virtually with showing listings with 3-D home tours, videos, and FaceTime. I just sold a house virtually this week! Realtors are staying away from face-to-face showings as much as possible and we are all working remotely from home. Through social media and virtual technology and our Inside Sacramento ads we will get necessary exposure. Safety first!
What is your outlook on the local market as a result?
The good news is that the real estate market was thriving and truthfully nothing was “broken” before the Covid 19 pandemic. The tough part is that Realtors logistically are having a tough time. Cancellations are for the moment up and fewer properties are going into pending for the short term. I feel as soon as we get through this period sales and pending sales will rise.
What are your telling anxious home sellers and buyers?
First and foremost—hang in there and we are all taking it day- by-day. I’ve been through 9/11 and the financial crisis of 2008 and the best thing one can do is price your home competitively. If you are a buyer—there are lots of opportunities with the interest rates so low. We have the technology, strategy, and the knowledge to get you through tough times.
Elise Brown
Coldwell Banker Residential Real Estate
www.WeLiveSacramento.com
How has the Coronavirus crisis changed how you work?
Client contact has always been an important aspect of how I do business and I am learning to adapt to meet their needs virtually while maintaining the personal connection we are all used to.
What is your outlook on the local market as a result?
With any major crisis, there will always be some immediate instability and fluctuation in how the market responds. We are lucky to live in an area that is always in demand and people want to move to. Even now, people are still buying and selling properties. I don’t expect this to stop.
What are your telling anxious home sellers and buyers?
I have been reassuring my clients that this too shall pass. Focus on keeping yourself, your family and our community safe and healthy. Every night at sunset we are one day closer to having this crisis behind us.
Rich Cazneaux
Coldwell Banker Residential Real Estate
www.EastSac.com
How has the Coronavirus crisis changed how you work?
Marketing and technology have always been vital tools in our business, and they now play an even greater role. Our industry is based on personal relationships. And while we are no longer conducting business face-to-face, we are still able to effectively connect with our clients and provide them with the expertise to navigate through the changing business climate. We continue to invest in targeted marketing—including our beloved INSIDE Sacramento—and more to create maximum property exposure. High-quality photography has now been paired with 3D home tours allowing buyers a comprehensive view of the property from the safety of their home. What is your outlook on the local market as a result?
Interestingly, there is a fair amount of activity in the marketplace. Our business is driven by life events and those have not stopped. People are still transacting. Currently there are 49 active listings in the greater East Sac area, 30% of those listings came on the market since the SIP close down—32 properties are pending and 9 of those listings have gone pending since SIP. Although the market is not as robust as we would typically expect it to be, I continue to be optimistic.
What are your telling anxious home sellers and buyers?
The market is still moving—obviously not like a typical spring market but—rates are still historically low, and there is money to borrow. This is NOT like 2008 with subprime mortgages and a surplus of inventory. Transactions are happening, and buyers are still looking for inventory. Homes in the $500,000-$600,000 range seem to be a sweet spot. The upper market is undetermined as it has been starving for inventory since the fall, which is good news for sellers in that category.
Paula Swayne
Owner/Broker Dunnigan, Realtors
Paula@PaulaSwayne.com
How has the Coronavirus crisis changed how you work?
For the most part, our real estate brokerage physical offices are temporarily closed down. But for our clients are in the middle of an escrow, or must sell or purchase a home—those transactions will move forward without change. In those cases, we are taking extraordinary steps to ensure we do not pass on the virus. Open houses are not taking place for obvious reasons, but virtual tours are working great for our agents.
What is your outlook on the local market as a result?
I believe that the moment this is over there will be a surge of business from pent-up demand. The later part of the year may have its normal slowdown, but it might be delayed. That means 2021 is going to be phenomenal.
What are your telling anxious home sellers and buyers?
Home sellers and buyers are being told to remember this is temporary. If they can wait it out, we would encourage them to do so. We provide the support needed to help them plan and cope the best strategies on timing.
Renee Catricala
Real Estate Agent
www.ReneeCatricala.com
How has the Coronavirus crisis changed how you work?
This health crisis has shifted the way that my team and I work. Real estate is a relationship-based business (often conducted in-person) and now our relationships with our clients must be cultivated remotely. From FaceTime showings to offering Matterport and 3D floor plans—in addition to our photos and virtual tours and Zoom consultations—we are now conducting business from “afar.” We must now support our clients and meet their needs primarily through technology. Therefore, while we may be a little “distant” right now, we are still here for our community.
What is your outlook on the local market as a result?
I am hopeful that the Sacramento real estate market will continue to thrive. I am currently seeing a healthy demand for property as buyers are eager to capitalize on low interest rates and ready to write offers on available properties. While sellers are less inclined to have interested parties walk through their homes, there are some who recognize this is a great time to capitalize on serious buyers. Furthermore, Sacramento remains a desirable place to call “home” as it is offers the best of all worlds—a welcoming community, ideal location with close proximity to various California landscapes, and continuous growth.
What are your telling anxious home sellers and buyers?
My team and I are dedicated to safeguarding the welfare of our clients. We are in constant dialogue with our buyers and sellers to ensure they understand the precautions and new vital measures we are taking to protect them. Additionally, we present our clients with market-share information and the most current data for them to make educated decisions. We believe that our level of communication is KEY when cultivating trust with our clients. We understand the sensitive nature of this pandemic, and we are here to make this process as seamless as possible.
Taylor Greer
CARLILE Realty & Lending
www.CarlileRealty.com
How has the Coronavirus crisis changed how you work?
The coronavirus has made the majority of our business virtual. The offices are partially closed, as the real estate industry is now considered essential. This is having a dramatic impact on how we advertise our services; making print and social media more important as we no longer attend networking or social functions. A lot of Realtors have resolved to work through Zoom and Microsoft Teams. Our Morning Huddles are now on the Zoom platform—where we give a daily inspirational quote, consider market reactions and guideline changes, and see what’s working or not. We encourage our team to provide virtual showings and virtual buyer consultations. Some of our agents have remarked that as an initial consult virtual meetings appear to work better than a sometimes unfruitful trip across town.
What is your outlook on the local market as a result?
It all depends on from which angle you’re looking at it. We haven’t yet seen a dramatic drop in the buyer demand unless their job outlook is unsure. From the seller side, those that must sell before they can buy are finding it hard to allow showings or virtual showings. The properties that are vacant are still well-shown and have limited days on the market. My investor clients are most worried about a potential loss of rents and are hopeful that the government will afford them similar payment holidays.
Overall, we may see a slowdown in the 2nd quarter, but pent-up demand moving into the summer months. With rates still low, people back to work full-time, and perhaps those that realized they weren’t in their dream home during the quarantine!
What are your telling anxious home sellers and buyers?
Don’t pay attention to the sell-off on the stock market while considering your next real estate move. Between the stimulus money and a robust government and service-based employment system, Sacramento is among the most noteworthy to bounce back. It’s really about positioning yourself to take advantage of what comes next. For home buyers we are providing consultations to make sure that they’re credit profile is inside our prime markets; and for Sellers, we have time to complete the Honey-do list (repaint, declutter, etc.) and are starting a lot of teaser photo campaigns on print and social media. Our refinance market is very strong for prime borrowers (those that fit FNMA criteria.) And for those that no longer fit FNMA criteria, we are providing a roadmap to strengthen their credit profiles.
