The COVID-19 virus has affected everyone across the United States. It has led many Palm Beach real estate agents to ponder the consequences, short and long-term. Here are a few obvious impacts the COVID-19 virus will have on the market and with how real estate business is performed.
Virtual Open Houses
Social distancing and “stay home” policies will further promote a trend that was just beginning: Using the computer and internet to conduct business. Part of that online utilization will include showing property over the internet, which cuts down on the time spent traveling and physically showing properties.
Showing a home electronically can boost profits and reduce the overall cost to the consumer. It also can save the potential customer time.
A luxury real estate agent in Palm Beach, for example, can show two homes in a night and not have to worry about constant clean-up. A buyer can save time by seeing more than one or two projects.
New Bidding Techniques
Another area that likely will change is the bidding process. What used to be days and even weeks long as an agent was a liaison between the buyer and seller, now can be reduced to mere hours with online bidding software. It is easy to see why.
The way a bidding process usually worked, was that Party A made and offer and the real estate agent relayed the message to Party B. If Party B made a counteroffer, the agent relayed it back to Party A, and so on. Eventually, the two parties came upon mutually acceptable terms negotiated and presented by a real estate agent.
With online bidding, Party A can enter a bid into bid management software. Party B can see the offer in real-time, accept, reject or modify it with a counteroffer. The real estate agent still plays a vital role in facilitating offers and counter-offer details, educating customers and providing expertise, but the actual management of bids would now be done by customers and customers can see in real-time the disposition of the other party.
The emergence of online management also has put a new emphasis on online, unscheduled tours of homes on the market. This will require real estate agencies to update their web sites to a more robust backbone and their actual presentation to be more customer centric.
As this is read, however, agents and agencies are making those vital updates and assuming the future of real estate will continue to be online.
The real estate market will change because of COVID-19 and so will Palm Beach real estate agents.