Industry Update: the Future of eClosing and RON

Join industry experts for an in-depth discussion on the future of eClosing and how hybrid and RON closings benefit lenders and borrowers.

DOJ v. NAR and the ethics of real estate commissions

Today’s HousingWire Daily features the first-ever episode of Houses in Motion. We discuss the Department of Justice’s recent move to withdraw from a settlement agreement with the NAR.

Hopes for generational investment in housing fade in DC

Despite a Democratic majority, the likelihood of a massive investment in housing via a $3.5 trillion social infrastructure package appears slim these days. HW+ Premium Content

Road to the one-click mortgage

This white paper will outline how leveraging a credential-based data provider can save money for lenders, reduce friction for borrowers, speed time to close, and overall bring lenders one step closer to a one-click mortgage.

CoronavirusReal Estate

42% of people who bought homes during the pandemic engaged in a bidding war

Job loss is also stressing out recent homebuyers

The COVID-19 pandemic upended just about everything this year, and that includes much of the home-buying process. A new study from Clever revealed that homebuyers who bought between January and May this year are twice as likely to have anxiety and stress than those who bought in the last five years.

The study also showed that 42% of homeowners who made a purchase during the January to May time period ended up in a bidding war, demonstrating the strong demand for homes amid low inventory.

In addition, the study showed the strains caused by COVID-19 shutdowns, which resulted in record-breaking numbers of workers filing for unemployment. According to Clever, 59.29% of homeowners who purchased their home before the World Health Organization declared the pandemic said that someone who typically contributes to housing costs lost their job during the pandemic.

Meanwhile, those who purchased their home since March (50.48%) were less likely to have lost a job, while stimulus check payments contributed to down payments for 21.1% of homebuyers.

Clever said that 84% of homebuyers who purchased their home before April 28 were able to pay their mortgage in full. Of recent homebuyers, 55% said they’re paying their mortgage in full, but only 45% are able to pay if a financial contributor has lost their job.

Even out of those who said they were still paying their mortgage in full, 53.78% said they were somewhat concerned and 25.14% said they were very concerned about being able to pay their mortgage in the coming months due to COVID-19 hardships. This number might change a little since the Federal Housing Administration and Federal Housing Finance Agency both announced they would be extending eviction moratoriums.

When Clever surveyed people who purchased their home between 2015 and 2019, many buyers said they were likely to feel happier and more secure because of homeownership.

However, when Clever performed the same study in 2020, those homebuyers were more than two times as likely to report feelings of anxiety, almost two times as likely to report stress, and nearly half as likely to say homeownership makes them feel comfortable and secure than those who bought in the last five years.

While many homeowners worry about cosmetic things, 36.24% of homeowners said they are worried that the pandemic might affect their home value.

Leave a comment

Most Popular Articles

Are we back to a normal housing market?

Favorable demographics should keep the housing market ticking. But watch for home prices escalating out of control and rates moving up sharply, writes columnist Logan Mohtashami. HW+ Premium Content

Jul 26, 2021 By

Latest Articles

Keller Williams launches KW New Homes Community

Keller Williams is launching the KW New Homes community and partnering with Legacy International to offer new home sales training to address the increasing opportunity in the market.

Jul 28, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please