If you feel like most of the news you’ve read about the housing market lately has been bad news, you’re not alone. Since March, real estate investors, agents, prospective sellers, and buyers have been eyeing the market closely and fearfully, wondering what the long-term repercussions of the coronavirus pandemic might mean.
In a lot of markets across the nation, it’s true that spring looked pretty grim. Typically an important time of year for those involved in real estate, the past several weeks have seen major drops in listings and a virtual halt to showings and open houses. Even as businesses begin to reopen, prospective sellers remain cautious about opening their homes to strangers.
However, while much of the country is struggling, a few cities seem to be experiencing an entirely different phenomena. Times may be tough, but these seven cities prove that the pandemic hasn’t eliminated real estate investors’ abilities to turn a profit in 2020.
Having boomed over the past 12 months, Austin’s new inventory is up by a little over 13.5% from last year. According to Movoto.com’s market snapshot, the median list price of properties is on the rise Known as a hot market for the past several years, it looks like Austin’s popularity will carry on in spite of the pandemic.
Though active inventory in Richmond is down a bit as compared to right before the coronavirus pandemic started, it remains up a little over 3% as compared to last year’s numbers. Though median list prices dropped slightly in April (right after the initial coronavirus shock), they’ve been steadily climbing since and show no sign of slowing.
With listings up by 4.5%, Houston is currently a buyer’s market. Despite the fact that many Texas cities are dragging at the moment, Houston continues to see increased property listings and affordable prices. This is great news for investors looking to take advantage of a great buying opportunity.
Minneapolis’ housing market saw a strong surge in March, followed by a notable cooling period in April. Despite this cooling period, Minneapolis is still rated by Redfin as a competitive market, with homes selling on average between 1-4% above listing price in just 7-14 days from their listing date. One item of note, however, is that it has yet to be seen whether the recent protests in Minneapolis will have any impact on their market over the summer.
San Antonio, TX
With strong military and healthcare industries, San Antonio has found itself in a relatively secure state as compared to most of the nation. With home prices up about 5% in the last year and values continuing to climb, the market is predicted to stay hot throughout 2020. Realtor.com predicts prices for single-family homes in the San Antonio metro area will climb 0.8 percent in 2020 as compared with the past year, and the city is seeing lots of new construction.
According to Redfin.com’s market analysis, Atlanta is experiencing a moderately competitive housing market at the moment. Right now, homes are selling at about 2% below asking price and tend to go pending in about 37 days. Home prices are up about 1.3% from this time last year, with homes in Midtown, North Buckhead, and North Springs fairing especially well.
Rounding out our list, the Raleigh-Durham housing market seems to be in the midst of a boom. Raleigh real estate market trends indicate an increase of 10.7% in the average sale price since last year. On average, homes are selling at asking price or up to 2% over and tend to go pending in about 25-42 days. A STEM hub, it’s expected that Raleigh’s market will be able to ride out the coronavirus pandemic storm with no serious issue.