COVID-19 impacts ArkLaTex housing market
(KSLA) - As of September 2021, right now is the best time for both sellers and buyers in the real estate world.
There is a great demand for homes than what’s actually on the market — causing some buyers to second guess if this is the right time.
“Right now, buyers are concerned ‘Am I paying more for a home than it is worth?’” said Realtor Ebony Layton with Keller-Williams of Northwest Louisiana. “What I like to tell people is we cannot predict what the market is going to do.”
The pandemic has slowed the production of lumber down, driving the prices up of materials. Experts say lumber prices have increased 377% since January 2020.
“This very home that we are standing in, you could have purchased this home for 15 dollars less per square foot at the beginning of the year versus what you pay for it now,” Layton said.
While COVID-19 has impacted the real estate market, Layton said that interest rates are at a historic low. However, demand is high and inventory is low.
Layton said it’s a seller’s market.
“Let’s say for instance if you qualified for a $200,000 home last year — with this year, with lower interest rates, you can purchase a home for $250,000.”
Ultimately, buyers would get more bang for their buck.
Regarding new construction, the total time to build a house would take four to six months. In some cases, it’s taking a little longer because of the shortage of materials.
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