The embers of the massive pandemic bask the housing market of Canada as the flames still rage across the country. Canada is limping back to normalcy and doing away with lockdowns in phases while social distancing and quarantine orders prevail.
Canada’s housing market braved the unexpected, invisible assault with a steely determination and kept real estate businesses open, albeit following all safety precautions. Realtors took the online route to post listings and show properties to serious buyers. Virtual reality, 3D walkthroughs and digital transactions became real estate machinery to sell homes.
An increased reliance on technology and digital real estate tools helped realtors buck the pandemic to some extent, though their expectations were sky-high in the spring season after a red-hot January and February.
Realtors peg high expectations post coronavirus
In spite of Canada’s property market showing muted demand for homes in the past two months, realtors are optimistic that a home-buying binge will soon follow after the coronavirus scare dies down.
Though home sales declined in the month of April in GTA region, property experts have not bought the notion that this trend will continue into the summers. They think that this sudden pause in real estate activity is a blessing in disguise as demand for homes will spike once lockdown measures loosen.
Open house showings were banned in Canada and homebuyers were hesitant in taking property visits. But the pent-up housing demand showed as home buyers resorted to creative ways of looking at listings and engaging with real estate agents by leveraging technology to get a grab of their choicest real estate.
This gave realtors a crumb of hope that this online home buying trend will stay and fuel a real estate revival big time in the next few months.
And they were right…
With historically low mortgage rates and the ease of virtual home-shopping solutions, the demand from home shoppers has rebounded. The number of requests in the first week of May stood a 5.5% increase than the previous months. Also, home loan application rates rose, as some cities in the country gradually loosen lockdown measures.
What’s heartening for Canada’s realtors is that the housing market started off on a solid footing and adjusted well to the stress test during the pandemic. Home prices are quoting double digits and sales are picking up gradually. The activity in the next few months will get stronger as markets will benefit from the pent-up spring season demand for homes.
For the moment, it’s a waiting game.