In December 2020, the Food and Drug Administration started the process of evaluating COVID-19 vaccine candidates for potential approval and distribution. The first recommendation issued for emergency approval of the Pfizer candidate was welcomed by millions of Americans who are anxiously awaiting a return of normal economic activity after the COVID-19 pandemic. Wall Street responded positively to the news, and the phones of real estate professionals started ringing.
The Housing Market During the Pandemic
Right before the World Health Organization determined that the widespread outbreak of SARS-CoV-2 had advanced to pandemic status, flippers and real estate investors were enjoying the active housing market. According to research conducted by ATTOM Data Solutions earlier this year, nearly 8% of all residential closings qualified as flipped properties. In late July, the Chicago Tribune reported that flipping activity in the Windy City had not been greatly affected by the pandemic.
In California, flippers who intended to complete rehab or remodeling projects before listing their properties had to wait a few months before the Governor’s Office finalized the contagion prevention measures for contractors to follow. Once the green light was given, projects resumed along with the flipping activity. Housing market analysts are expecting a major rebound in terms of sales activity starting in December, which happens to be a month when flippers hunt for bargains.
Remodeling and Renovations During Holidays
Residential contractors tend to get pretty busy after the New Year, and this can result in a situation whereby the remodeling goals of flippers can be delayed. Spring break and summer vacation are two periods when it is easier to find buyers; flippers will want to complete their remodeling projects before March in order to list their properties at the peak times for selling. Those who locked into bargains during the holidays should try to retain contractors before January so that they can ensure timely project completion.