Home sellers take wait-and-see approach as buyers discouraged by stock market correction
Nearly two out of three REALTORS® — 65% — said their buyers were significantly discouraged by the recent stock market correction, according to the March 2020 edition of the HousingIQ Survey of Kentucky REALTORS®. 84% of the over 700 REALTORS® from across Kentucky reported that their sellers had not removed their homes from the market due to coronavirus fears.
The HousingIQ Survey of Kentucky REALTORS® is administered monthly to the Kentucky REALTORS® membership as part of an effort to harness the ears-to-the-ground knowledge of REALTORS®. The responses are analyzed and reported as the HousingIQ/Kentucky REALTORS® Confidence Index. The March 2020 edition included additional questions to gather first-hand knowledge about the impact of the coronavirus on the Kentucky housing market.
The emerging narrative is that it will become a buyer’s market and create greater opportunities for single-family rental investors. In the next twelve months:
- 68% of the respondents expect more houses to sell below asking price
- 60% of respondents expect houses to stay on market for longer
- 69% of respondents expect number of distressed sales to increase
- 55% of respondents expect increased sales to investors
The full report is available here.