The Real Deal
Corona Virus impacts real estate sales in southwest Missouri
April 1, 2020
Rob Lotufo
This pandemic is affecting us all. We all read the news, we hear about things on a national level: what's going on in New York, what's going on in New Orleans and Washington. The struggle is real, and it is impacting Barry County and all of its residents.
Employment has gone from a record-high to a very precarious position in just a few weeks. People's retirement funds and portfolios have taken a major hit and are subject to the daily surging up and down of the market.
The big news of the relief package being passed is a consolation to many, but it is already having far-reaching ripple effects on other markets.
Investor concerns are affecting home loans. Right in our front yard, where we depend on Rural Development, FHA and FSA guarantees to keep mortgages and farm purchases within the reach of the working Missourian, things are getting tough. In just one week, a person who needed a 610 credit score to qualify for a loan now needs a 640. Some mortgage companies are requiring as high as a 700 score. Some are refusing to make these loans at all.
Changes like this will certainly put the brakes on many real estate deals in this part of the country.
Uncertainty as to employment and income, as well as public health, will certainly rattle consumer confidence. Large-scale investors, particularly those considering buying farm operations, have begun to postpone decisions. These types of trends can often take much longer to correct than they did to start.
Still, I think we are going to see a lot more inventory on the market, particularly second homes and lake properties. It's very possible that people will consider downsizing to a less expensive home in Barry County, especially if they feel they can get a decent price for the one they are moving from.
Then there are the Preppers. I have gotten quite a few calls from people in big cities who think they want to move out to the country, even possibly go off-grid. They sell, then things don't turn out quite the way they planned. In times like these, there are bargains to be had and many investors will ramp up their purchasing to take advantage of this.
The rental market in Cassville and Barry County has been tough, even before this crisis, with rental units in high demand and low supply.
With first time mortgage loans moving more and more out of reach, the transition from rental to home ownership is going to be significantly impacted.
With any luck, in a few weeks Covid 19 will be nothing more than a memory: gone the way of the Bird Flu, SARS and Y2K. I fear that's probably a little bit of wishful thinking, though.
Hopefully, in the meantime, we can all keep our wits about us, make good decisions, and not jump to conclusions. I don't think any of us doubt that we will get through this. The question is, “Just how much collateral damage will we incur?”
I'm going to keep praying for health, healing and peace for our country.
Take care and God bless. -Rob
Robert Lotufo is a Realtor who specializes in rural property and farm sales.
Rob Lotufo
This pandemic is affecting us all. We all read the news, we hear about things on a national level: what's going on in New York, what's going on in New Orleans and Washington. The struggle is real, and it is impacting Barry County and all of its residents.
Employment has gone from a record-high to a very precarious position in just a few weeks. People's retirement funds and portfolios have taken a major hit and are subject to the daily surging up and down of the market.
The big news of the relief package being passed is a consolation to many, but it is already having far-reaching ripple effects on other markets.
Investor concerns are affecting home loans. Right in our front yard, where we depend on Rural Development, FHA and FSA guarantees to keep mortgages and farm purchases within the reach of the working Missourian, things are getting tough. In just one week, a person who needed a 610 credit score to qualify for a loan now needs a 640. Some mortgage companies are requiring as high as a 700 score. Some are refusing to make these loans at all.
Changes like this will certainly put the brakes on many real estate deals in this part of the country.
Uncertainty as to employment and income, as well as public health, will certainly rattle consumer confidence. Large-scale investors, particularly those considering buying farm operations, have begun to postpone decisions. These types of trends can often take much longer to correct than they did to start.
Still, I think we are going to see a lot more inventory on the market, particularly second homes and lake properties. It's very possible that people will consider downsizing to a less expensive home in Barry County, especially if they feel they can get a decent price for the one they are moving from.
Then there are the Preppers. I have gotten quite a few calls from people in big cities who think they want to move out to the country, even possibly go off-grid. They sell, then things don't turn out quite the way they planned. In times like these, there are bargains to be had and many investors will ramp up their purchasing to take advantage of this.
The rental market in Cassville and Barry County has been tough, even before this crisis, with rental units in high demand and low supply.
With first time mortgage loans moving more and more out of reach, the transition from rental to home ownership is going to be significantly impacted.
With any luck, in a few weeks Covid 19 will be nothing more than a memory: gone the way of the Bird Flu, SARS and Y2K. I fear that's probably a little bit of wishful thinking, though.
Hopefully, in the meantime, we can all keep our wits about us, make good decisions, and not jump to conclusions. I don't think any of us doubt that we will get through this. The question is, “Just how much collateral damage will we incur?”
I'm going to keep praying for health, healing and peace for our country.
Take care and God bless. -Rob
Robert Lotufo is a Realtor who specializes in rural property and farm sales.
Rob Lotufo
This pandemic is affecting us all. We all read the news, we hear about things on a national level: what's going on in New York, what's going on in New Orleans and Washington. The struggle is real, and it is impacting Barry County and all of its residents.
Employment has gone from a record-high to a very precarious position in just a few weeks. People's retirement funds and portfolios have taken a major hit and are subject to the daily surging up and down of the market.
The big news of the relief package being passed is a consolation to many, but it is already having far-reaching ripple effects on other markets.
Investor concerns are affecting home loans. Right in our front yard, where we depend on Rural Development, FHA and FSA guarantees to keep mortgages and farm purchases within the reach of the working Missourian, things are getting tough. In just one week, a person who needed a 610 credit score to qualify for a loan now needs a 640. Some mortgage companies are requiring as high as a 700 score. Some are refusing to make these loans at all.
Changes like this will certainly put the brakes on many real estate deals in this part of the country.
Uncertainty as to employment and income, as well as public health, will certainly rattle consumer confidence. Large-scale investors, particularly those considering buying farm operations, have begun to postpone decisions. These types of trends can often take much longer to correct than they did to start.
Still, I think we are going to see a lot more inventory on the market, particularly second homes and lake properties. It's very possible that people will consider downsizing to a less expensive home in Barry County, especially if they feel they can get a decent price for the one they are moving from.
Then there are the Preppers. I have gotten quite a few calls from people in big cities who think they want to move out to the country, even possibly go off-grid. They sell, then things don't turn out quite the way they planned. In times like these, there are bargains to be had and many investors will ramp up their purchasing to take advantage of this.
The rental market in Cassville and Barry County has been tough, even before this crisis, with rental units in high demand and low supply.
With first time mortgage loans moving more and more out of reach, the transition from rental to home ownership is going to be significantly impacted.
With any luck, in a few weeks Covid 19 will be nothing more than a memory: gone the way of the Bird Flu, SARS and Y2K. I fear that's probably a little bit of wishful thinking, though.
Hopefully, in the meantime, we can all keep our wits about us, make good decisions, and not jump to conclusions. I don't think any of us doubt that we will get through this. The question is, “Just how much collateral damage will we incur?”
I'm going to keep praying for health, healing and peace for our country.
Take care and God bless. -Rob
Robert Lotufo is a Realtor who specializes in rural property and farm sales.
Rob Lotufo
This pandemic is affecting us all. We all read the news, we hear about things on a national level: what's going on in New York, what's going on in New Orleans and Washington. The struggle is real, and it is impacting Barry County and all of its residents.
Employment has gone from a record-high to a very precarious position in just a few weeks. People's retirement funds and portfolios have taken a major hit and are subject to the daily surging up and down of the market.
The big news of the relief package being passed is a consolation to many, but it is already having far-reaching ripple effects on other markets.
Investor concerns are affecting home loans. Right in our front yard, where we depend on Rural Development, FHA and FSA guarantees to keep mortgages and farm purchases within the reach of the working Missourian, things are getting tough. In just one week, a person who needed a 610 credit score to qualify for a loan now needs a 640. Some mortgage companies are requiring as high as a 700 score. Some are refusing to make these loans at all.
Changes like this will certainly put the brakes on many real estate deals in this part of the country.
Uncertainty as to employment and income, as well as public health, will certainly rattle consumer confidence. Large-scale investors, particularly those considering buying farm operations, have begun to postpone decisions. These types of trends can often take much longer to correct than they did to start.
Still, I think we are going to see a lot more inventory on the market, particularly second homes and lake properties. It's very possible that people will consider downsizing to a less expensive home in Barry County, especially if they feel they can get a decent price for the one they are moving from.
Then there are the Preppers. I have gotten quite a few calls from people in big cities who think they want to move out to the country, even possibly go off-grid. They sell, then things don't turn out quite the way they planned. In times like these, there are bargains to be had and many investors will ramp up their purchasing to take advantage of this.
The rental market in Cassville and Barry County has been tough, even before this crisis, with rental units in high demand and low supply.
With first time mortgage loans moving more and more out of reach, the transition from rental to home ownership is going to be significantly impacted.
With any luck, in a few weeks Covid 19 will be nothing more than a memory: gone the way of the Bird Flu, SARS and Y2K. I fear that's probably a little bit of wishful thinking, though.
Hopefully, in the meantime, we can all keep our wits about us, make good decisions, and not jump to conclusions. I don't think any of us doubt that we will get through this. The question is, “Just how much collateral damage will we incur?”
I'm going to keep praying for health, healing and peace for our country.
Take care and God bless. -Rob
Robert Lotufo is a Realtor who specializes in rural property and farm sales.
