Toronto is currently under orders to distance socially and to self-isolate. Naturally, such measures will impact the hottest home buying season of the year. In fact, although real estate agents and brokers have been deemed essential services and can continue working, authorities have asked them to cancel any planned open houses and to prioritize virtual showings and meetings. But, will buyers and sellers actually want to venture into the market at this time?
According to a recent Global News report February home sales were up nearly 27% from a year ago and the average home price had risen by 15%. However, recently agents and brokers are witnessing a lack of enthusiasm from buyers and sellers who are not keen on either listing their homes or visiting homes at this time. Even with measures in place requiring agencies to disinfect doorknobs, railings and other often touched surfaces, and, despite measures asking agents to stand at least 6 feet away from sellers or buyers, there is a lack of motivation right now.
The only people who are likely on the market are those who had already bought a house and desperately need to sell theirs in order for the financing to fall into place or those who have sold their house and need to find another one before being forced to vacate. Those who don’t need to buy or sell right away are putting their plans on hold – especially now with the uncertainty of where the economy is headed and whether all those who have been temporarily laid off will be rehired or will have to look for new work.
There are too many uncertainties currently to truly understand the long-term impact of this situation on the housing market. We can only hope that it will be minimal and that once the self-isolation requirements have been lifted that we will be able to get back to a normal sales season.
