The recent coronavirus pandemic is causing a lot of uncertainty. For many of us, that uncertainty is related to the housing market. COVID-19 will certainly have an impact on the economy. However, it’s not all bad news- especially if you own rental properties. Learn more about what to expect in the coming months below.
What We Know- And What We Don’t Know
While it might feel like COVID-19 has been with us forever, the disease is still very new. When experts talk about the economy, they are comparing our situation to other financial crises in the past, such as the 2008 recession. Because the 2008 crisis had such a negative impact on the housing market, it is easy to feel discouraged about our current situation. However, the National Real Estate Investor reports that the majority of recessions do not impact the housing market. We don’t know what the future holds, so there is no need to panic at the moment.
Good News for Investors
Regardless of what happens with the economy, people will still need places to live. This simple fact is one of the reasons that real estate investments make sense, even during hard times. Renting out your investment property will provide security to another person in your community. It’s a financially smart decision that you can also feel good about.
Renovations During a Pandemic
It’s important to be realistic about the current situation. Lots of industries (like manufacturing and construction) are currently on hold. This means renovating your property might be challenging right now. However, you can avoid issues with a little planning. Call around to local contractors and see who can work with on your new property.
Ready to Invest in Real Estate?
Red Door Funding makes it easy to get the funds you need for your investment property. Explore our website to learn more about the loans we offer. If you have any questions, give us a call at 832-539-1099.