How COVID Affected the Housing Market

Introduction

The focus of this blog is covid and housing market, covid's impact on the housing market and how covid shaped the houses for sale. This includes an introduction to covid-19, as well as its effects on our society in general, specifically the housing market. COVID-19 has changed everything from lead times to material prices; it has also created incredible rates of change in both markets which have led to many consequences including a shortage in quality of life and de-urbanization.

Lead Times

COVID-19 has caused many changes to the housing market; one of them being increased lead times. COVID-19 has caused a lot of factories to close down and this has made lead times increase in all areas, including the housing market. Properties in Nevada have gone up because it takes so long for people to buy their dream homes.

Material Costs

COVID-19 has caused an increase in material prices because covid has almost wiped out the plastic market. The material known as polyethylene terephthalate or PET, which covid is used to produce, is now being more widely used by many companies. It's even starting to replace steel and glass. Covid-19 has also been causing a lot of problems with the quality of life around the world which includes increased reliance on covid and covid-based products as well as people moving away from urban areas.

Economic Shakeup

COVID-19 has also led to an incredible rate change in both markets. This is happening because covid is now cheaper than before and covid products are more accessible as well. Covid-19 is causing urbanization to die down; people are now moving away from those areas where covid factories are based and living instead on the outskirts of towns or villages.

Prices Skyrocket

Housing prices are also rising with covid-19. Housing prices have gone up $39,500 in the years since covid was approved by the FDA. Real estate agent Shonn Ross said “It’s hard to say because I see a million different reasons why this is happening but covid has to be one of them. It’s making more people sick who are not already sick."

Price Disparity

Housing prices vary greatly from state to state. In California, housing costs decreased over the time period covid was introduced into the market while in New York housing costs increased drastically. Prices went up 12% in San Francisco and 14% in New York City by 2018 as opposed to 3% increase of Census regions nationwide between 2015 and 2016.

Conclusion

This article has detailed the impact covid-19 had on the housing market and how it led to a shortage of affordable homes. These are only some of the changes covid-19 caused in Rochester's real estate industry, but they illustrate just how important covid is for our society as well as other industries like transportation and communication.