The Coronavirus pandemic has changed virtually everything in our daily lives, both personally and professionally, and real estate has been no exception. Shockingly, despite the high unemployment rate and uncertain economy, the market has remained hot and steadily in favor of the seller. However, what has been affected are buyer preferences relating to everything from location to amenities and home features. How does this affect the Chapel Hill area? Let’s take a closer look.
Single-family homes are still very much in demand and remain a priority for those looking to purchase real estate. However, families looking to purchase or build a home are trending much higher in smaller metro suburbs. This seems to be the case for many reasons and does not look to stop trending in this direction any time soon. Why? For many reasons.
- Families are moving further away from populated areas for both space and peace of mind.
- More overall square footage, along with acreage, is linked to why housing starts increased by 3% in June alone. Families are wanting more space with bigger yards for both the kids and pets to be able to get out and burn off energy, while also being able to social distance.
- Existing homes are also seeing an increase in larger home sales. In the month of August, typical homes sold were an average of 3.7% larger than that of August 2019. Also, of importance, sales of larger homes (3,000 – 5,000 square feet) rose 21.2% this year, while medium-sized homes (1,500 – 3,000 square feet) rose 10% and smaller sized homes (300 – 1,500 square feet) only rose 2.3%. The sales for larger homes grew almost 10 times faster than the likes of the smaller homes. Trends are showing that many families are willing to compromise their location for more space.
- It’s also important to note that, although larger homes are selling at an increasingly high rate, affordability is still a big factor in the average home search
Desired home features and amenities are shifting
The Coronavirus has taught many people what is, and isn’t, important to them when looking for a new home. While some of these trends might fall off once life goes back to normal, many are most likely here to stay.
- Home office space. The majority of 9 – 5 workers are still working daily from home and extra space for a home office has become vital for both focus and success. This particular feature has also caused an upswing in a demand for closed-concept floorplans. Many parents are looking for a home office that allows them privacy from the kids during the workday.
- Outdoor space and recreation amenities. More space for activities in the backyard has increased as well. This also goes for recreation features such as swimming pools. The more there is to occupy the kids, the less likely they’ll focus on public activities remaining closed. This is also trending since many families are choosing to continue with social distancing.
- A learning area for the kids. As long as virtual learning still exists, this will remain a high priority. Parents have prioritized having a space dedicated to schooling where their kids are less likely to become distracted. This is a trend that might fade as schools start to open back up.
How does this all affect Chapel Hill?
Chapel Hill has always been and, more importantly, continues to be an ideal real estate community. With the current upswing in new construction in smaller metro suburbs, the Chapel Hill/Carrboro community has become ideal for both new and preexisting homes. Aside from the record low mortgage rates, there are many other reasons why the current market is ideal for the area:
- Chapel Hill is an ideal community that offers all of the luxuries of a large metropolitan area but remains spread out both within the city, as well as in the Carrboro area, and allows for optimal social distancing.
- The School District is excellent and trustworthy.
- There are optimal career opportunities with all of the research labs, highly ranked businesses, and universities within a short commute. This is especially important given the current unemployment rate.
- According to reports, Chapel Hill’s larger sister cities, Durham and Raleigh, are both ranked in the top-10 cities in the country to rebound from Coronavirus. Both of these cities are much larger and more difficult to obtain space than Chapel Hill but make for an easy commute to and from work.
While the uncertainty of the economy and repercussions of the Coronavirus may loom for quite some time, it remains certain that the real estate market for communities such as Chapel Hill will continue to be in high-demand and thrive for quite some time.
Everyone’s safety is our first priority. We are providing services electronically – VIRTUAL listing appointments, buyer consultations, virtual showings, & paperwork completed electronically! We are taking steps every day to raise the level of everyone’s safety and health and are preparing our seller’s homes with a more “touch-free ” experience and buyer tours with CDC recommended protections.
We will get through this! While we are experiencing some uncertainty, we do know that people will have homes they need to sell and homes that people will need to buy. You will be able to buy and sell Real Estate safely & comfortably wherever it is that you may be.
Our team is here to help you, in any way we can, Real Estate or otherwise.
Call or text us today at ️(919)-414-0337 or 877-478 4669 if you are out of state, for more information.