The real estate market has been on a roller coaster ride in 2020. After a strong start to the year, it quickly came to a standstill due to the coronavirus pandemic. But with the vaccine rollout and the easing of restrictions, the real estate market is showing signs of recovery.
The pandemic caused a massive disruption in the housing market, with home sales dropping to their lowest levels since the Great Recession. But now, the market is slowly beginning to recover.
According to the National Association of Realtors, existing home sales rose by 10.3% in December 2020 compared to the previous month. This was the third consecutive month of increases, and the highest level since December 2017.
In addition, the number of homes for sale has been steadily rising since the summer. This has helped to ease the inventory shortage that had been plaguing the market for months.
The housing market has also been bolstered by record-low mortgage rates. These low rates have made it easier for buyers to afford homes, and have helped to spur demand.
The real estate market is also being helped by government stimulus programs. Programs like the Homebuyer Tax Credit and the Mortgage Forgiveness Debt Relief Act have made it easier for buyers to purchase homes.
Finally, the real estate market is being helped by a strong economy. Unemployment is at its lowest level since the pandemic began, and the stock market is at record highs. This has helped to give buyers the confidence to purchase homes.
Overall, the real estate market is showing signs of recovery after a difficult 2020. With low mortgage rates, government stimulus programs, and a strong economy, the market is on the right track. This should lead to a strong 2021 for the housing market.