The U.S. luxury real estate market entered 2020 on a high note but is now facing the varied headwinds of the coronavirus pandemic
Buyers and sellers’ response to the health crisis On Friday, having signed a sale contract the previous day, Greene and her team partner Nada Rizk said they have not yet had any cancelled appointments. Still, they decided not to bring any new properties on the market for a couple of weeks.
In Chicago, Laricy says a few of his seller clients have decided to convert their listings to rentals.Alec Traub, an agent and Los Angeles team manager with Redfin, says he expects sellers, especially developers, to lower prices and be more flexible. “[Developers] need to sell because their money is tied up or they have hard money loans that they need to pay off,” he says. “They don't necessarily have the luxury of time,especially if they have the sense that in the short term, it's going to get worse before it gets better.”Martin says that luxury home sales in Texas’ largest city dropped by about 6% from March 1 to March 18 compared to the same period last year.
In New York, Fox says that some co-op buildings are advising brokers not to schedule residents’ move-ins or move-outs, renovations and even closings. “This is a really, really bad thing,” says Fox. “We need to have our deals closed. We need them for our sellers and for our buyers. Brokers need their deals to close because we need to make some money, too.
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