Does a looming or current Quarantine situation about a virus and health risk make you want to call or text to sell your Minnesota Home today?
Quarantine and stay-at-home
In March of 2020 we are seeing a tricky situation where those in Minnesota are waiting for a self-quarantine lockdown as stores close early now at 8 pm and many bars and restaurants are closed but many do delivery.
Right now many aren’t leaving the house because it feels like a health risk so many are staying at home. Due to margin calls and banks changing their lending programs we are expecting a lot of changes and likely a lot more real estate inventory coming on the market as sellers start to list their homes.
If you have been thinking a lot about figuring out your homes value of selling due the uncertainty in the market it’s worth discussing some options.
Your health is important and your budget for retirement is also important. Sometimes the extra cash you get from selling your home helps your business or household income in times of great uncertainty.
the stay-at-home with covid-19 and businesses, restaurants, bars etc has really affected finances for people even going into July of 2020. This has caused consumer demand to shrink a lot and is affecting finances a lot.
It started with a lot of people afraid to show homes due to covid-19, into crime in different areas making people want to list and sell to more in the suburbs. Through June of 2020 the market changes are just starting.
Minnesota Layoffs, unemployment and furloughs
The later phases of this quarantine and stay-at-home has caused many small, medium and large businesses to furlough thousands of workers. Now some businesses are closing forever so they had to let people go or do massive layoffs.
This has caused record unemployment across the country and really bad in Minnesota like we last saw since the Great Depression of 1929, and some say even worse. For now people are collecting unemployment benefits for a little while, but for how long is yet to be determined.
The jobless rate numbers have been coming out every Thursday and collectively it’s very high everywhere. As the benefits run out for millions of people we should see a big loss in household income which will force homeowners to tap their equity, or try to do cash out refinances. Getting a loan from a bank when you are unemployed without an income source usually isn’t easy. This will cause Minnesota motivated homeowners to need to liquidate and sell their home
Minnesota Forebearance and Minnesota foreclosures
As you’ve seen in the spring of 2020 the forebearance numbers have been very high for homeowners requesting it due to unemployment and layoffs.
Many homeowners will need to pay the lump sum after 3 months of no payments others will have the payments tacked on to the back of the home loan.
As time goes on these Minnesota homeowners could end up in foreclosure and very motivated to sell their home
This will be tough on homeowners, banks, and servicers gor lenders with all of these missed payments. In addition the landlords may get in this situation due to their renters being layed off and not paying rent. Also evictions have been delayed a long time causing more stress on Minnesota landlords.
When in pre-foreclosure homeowners like to negotiate or look for options before they lose their home in foreclosure
Right now the real estate market is at an all time high in March 2020, if you are concerned of the market going down then you may want to sell now before the price goes down.