Although many homebuyers and sellers are questioning their real estate plans this spring, interest rates are low, causing a strong demand for buying and selling homes. Real estate agents must change their approach to accommodate the needs of homebuyers and sellers in 2020. With the help of technology to conduct business virtually, many agents are still working with limited or no person-to-person contact. Even with the use of technology in their favor, one area that has always puzzled real estate agents is contract writing. Below are some important points that real estate agents should understand about contract writing during the COVID-19 pandemic.
One of the best steps an agent can take is to include a contingency stating that a home inspection will be performed after the state lifts restrictions brought on by COVID-19. This element of your contract will help to accommodate the uncertainty surrounding the process of buying a property without seeing it in person.
During your first conversation with the client, you want to inform them that writing a contract without physically seeing a home is not unusual. This approach is becoming more common as a casual way to establish the process.
Examples of phrases:
“It is safer for everyone. And of course, you can see the home before closing and if there is a problem we can address it and have anything we need corrected then.”
“Virtual viewings allow for multiple trips to the same house and eliminate other homes from your list more quickly.”
By embracing technology and the future, you have learned new skills that you can use for years to come. Following the changes presented by the COVID-19 pandemic, methods of selling homes with less physical interaction may be the preferred way of doing business for the foreseeable future.
The majority of Americans have limited experience when it comes to buying and selling homes. This is especially true for the younger generations of homebuyers in the United States. If real estate agents present virtual home shopping as an accepted method for selecting a home, buyers are less likely to question it and push back. If enough agents transition to virtual applications, we can expect to see a shift from traditional real estate practices over the next few years. Not only is the modern-day approach to real estate safer and easier for clients, but it also allows agents to conduct more business in the same amount of time.
The COVID-19 outbreak has many real estate companies transitioning over to digital technologies to connect with buyers and sellers. Virtual tours have been extremely popular over the last several weeks as an effective alternative to in person home showings. Virtual house tours are time savers, they help buyers narrow their search, and they support the concept of social distancing. Although they are not allowed in every state, we are seeing more real estate agents use e-notarizations to conduct virtual closings as well.
The professionals in the real estate community whose average age is above 50 need to adjust to these new practices. The agents that take a progressive approach will reap incredible rewards and ones that don’t will be left behind as we have seen before. For years, there were many agents who did not want to put their email address on their business cards, couldn’t fathom why they would ever need a professional website, and fought against the idea of social media. Today, those agents who resist change will miss an opportunity to grow their business.
The real estate agents who embrace change will spend less time sitting in traffic, land more sales, and have greater job satisfaction. Change is inevitable within the real estate industry and these agents ahead of the curve will also be better positioned to embrace future changes as well.
During the ongoing COVID-19 pandemic, many real estate agents are finding new ways to thrive in an unprecedented state of the industry. By using technology to conduct business virtually, many real estate agents remain successful without person-to-person contact in their roles.
As professionals, we must always anticipate the next significant change coming our way. To protect the health of both industry professionals and clients, this transition from traditional real estate practices to more virtual applications is critical at this time. From virtual showings and video chats to social media, text messages, and phone calls, agents can utilize several different ways to engage with clients without person-to-person contact.
While physical health is the top priority for many individuals during the COVID-19 outbreak, real estate agents cannot disregard their businesses. By implementing precautionary adjustments to technology and new approaches to industry practices, estate agents can remain safe, as well as continue to grow their business in 2020. Over time, these lessons learned throughout this pandemic may also be applied to day-to-day operations for years to come. Although the roles of real estate agents may seem different during this time, these roles may also become easier, and even more profitable in upcoming months.
If you have additional questions, USHUD remains available to assist you during these times of uncertainty. By receiving the right support, real estate professionals can make the most out of this challenging situation and improve the industry for the future.
The traditional real estate transaction is a process that consists of multiple in-person meetings and an abundance of paperwork. Due to the COVID-19 outbreak in the U.S, real estate businesses are transitioning from traditional methods to a wide variety of digital technologies to support social distancing.
As real estate businesses continue to integrate these technologies into their everyday practices, we can expect the industry as a whole to become more technologically dependent moving forward. Here are a few examples of how real estate companies are changing their operations during the COVID-19 pandemic to accommodate both buyers and sellers.
American homebuyers have been reliant on virtual 3D home tours since the outbreak of COVID-19 in our country. By using a panoramic photo over a smart device, a seller, property manager, or real estate agent can upload these tours online as an alternative to in-person showings. Also, we are seeing more agents use video chat services like Zoom or FaceTime to show homes at this time.
A home buyer who wishes to buy a custom home in 2020 can use an interactive digital tool to help them with that entire process. With the help of one of these tools, a buyer can design a home and with mapping applications, can see how it would look once constructed in the neighborhood. Many of these digital tools even allow the customer to follow along with the construction of the home as it is being built.
Many appraisers today are using online data and public information to formulate values on homes as a means to support social distancing.
How does a buyer close on a home when many documents require in-person notarization? Because COVID-19 is causing people to remain at home, some states, like Maryland, have adopted remote online notarization (RON) in response to the virus. While it is not currently legal in every state, other states may also adopt RON over time.
Due to the outbreak of COVID-19 in the U.S, many Americans are under the misconception that the real estate market is in poor standing. However, this is not the case as we have seen appreciation since last year. With interest rates currently low, there are many Americas who still want to buy homes this spring. Because there continues to be a demand for homes, real estate agents are needing to adjust their day-to-day operations to interact with prospective clients and market home listings.
Many real estate companies are turning their efforts to digital technologies to connect with buyers and sellers. There has been a significant increase in the number of virtual tours for prospective homebuyers as an alternative to in person home showings. Vitual tours are beneficial because they are time savers, they help buyers narrow their home search, and they support the concept of social distancing. We are also seeing more agents conduct virtual closings where e-notarizations can be used to also limit the amount of in-person contact throughout a real estate transaction.
If you are planning on buying a home in 2020, there are some steps you want to take to ensure you put yourself in the best position possible. One of the best steps a homebuyer can take is to get pre-approved. The main benefit of doing so is that it expedites the buying process because a preapproved homebuyer knows how much of a mortgage they can qualify for. Also, preapproved buyers are more favorable to sellers because they know they are serious buyers.
Another significant step in the home buying process is finding the right real estate agent to help you search the market for your next home. This individual should have your best interests at heart and want to match you with a home that meets your needs. If you intend to buy a home this year, do not be afraid to speak to a few agents before choosing the right person.
Do you plan on buying a home in 2020? Despite the ongoing market fluctuations caused by COVID-19 in the U.S., interest rates remain at historic lows, encouraging people to continue with their home search. One of the best steps a homebuyer can make is to hire an experienced realtor to assist with all stages of the homebuying process. Continue reading to discover a few examples of how working with a realtor can support you in your home buying journey.
An experienced realtor will help you to narrow down your home search by asking you targeted questions to determine what exactly you are looking for in your next home. While finding the right home can sometimes be overwhelming, a realtor can direct you towards properties that are right for you and your needs, such as school districts, location, and number of bedrooms.
One of the most significant steps in the homebuying process is getting preapproved for a loan. By having an experienced realtor in your corner, you also gain access to large networks of lenders who can help you become approved for a mortgage.
Negotiating is an especially challenging step in the homebuying process. An experienced realtor can help to guide you through the negotiation process with advice on questions to ask and important next steps on moving forward with an offer.
