The whole world has come together to fight the novel coronavirus. This virus originated in Wuhan, China, and has now spread like wildfire across the globe. US has today become the most affected by the virus, where hundreds of people are dying daily under the influence of it.
In a pre-corona world, during February, the house pricing in Southern California rose by 6%, and the sales surged up to 14%. Many options for Orange County home refinance were available that time. That was the time when the authorities hadn’t called a lockdown. And people were open to traveling.
However, after the virus hit other countries, there was a decline in the tourism sector. Now most of the governments across the world have declared lockdown. This will sorely affect the house pricing and the real estate industry.
There is a decline in tourism as well as the entertainment industry. But the real estate agents also report a shrinking demand in the industry because of the coronavirus.
While the online buying is encouraged, people aren’t keen on buying something as huge as a house without a proper look at it, and because of the lockdown in most parts of the country, it is impossible to do so.
Last month the real estate industry was ready for a busy 2020. But after the pandemic, there is hardly any growth in the industry. There was a 30-year fixed mortgage clocked in at 3.36, and it is just slightly up from a record low of Freddie Mac since it started collecting the data in 1971.
Real Estate experts fear that the longer the virus stays, the more jobs will be lost. And it may lead to a further decline in the real estate industry in Southern California.
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