How the eviction and foreclosure moratorium’s end will affect home values.
How will the ending of the eviction and foreclosure moratoriums impact home values? Read on to find out. Since the start of COVID in March of 2020, it’s been impossible to evict a tenant for non-payment of rent unless they’re doing something illegal there. That policy ended on September 30. There certainly are landlords who are ready to get rid of their properties and stop being a landlord or move to other states where they’re more landlord-friendly. When that happens, we’ll see some additional homes come on the market from that source.
For the past year and a half, banks also haven’t been allowed to issue foreclosures if people weren’t making payments. That policy has also ended. The good news is that home values have risen about 30% since the start of COVID. If you’ll likely face foreclosure, please contact me, and let’s have a conversation about selling your home, so you can put money in your pocket instead of getting foreclosed.
There probably will be some folks that do get foreclosed on, but it won’t be a huge percentage. There will be some additional homes hitting the market, but probably not a flood of homes. This will slow down how fast home prices have been appreciating. Couple that with rising interest rates and the Fed slowing the bond-buying program, and appreciation will slow down. We’re probably going to see appreciation growth around 0.5% per month, which is much more sustainable.
If you’re looking to buy, it’s still a great time to get in because home prices are likely still going to climb. If you’re a landlord who’s ready to sell your investment property, I can help with removing tenants and selling the property. If you’re in a forbearance situation, let’s have that conversation so I can help you sell your home. If you have any questions, don’t hesitate to reach out to me. I look forward to hearing from you.