{"id":16149,"date":"2020-04-24T13:17:55","date_gmt":"2020-04-24T20:17:55","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=16149"},"modified":"2021-07-16T07:29:59","modified_gmt":"2021-07-16T14:29:59","slug":"buyer-coronavirus-first-time-homebuyer","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/","title":{"rendered":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?"},"content":{"rendered":"

If you are a first-time homebuyer<\/a> and were in the process of shopping for a house<\/a> before the coronavirus<\/a>, the pandemic likely put a wrench in your plans. But should it? When you\u2019ve never bought a house before, you don\u2019t know what you don\u2019t know about the process, and buying a house for the first time during a pandemic isn\u2019t an experience you can ask your friends and family about \u2014\u00a0 these are uncharted waters.<\/p>\n

The truth is, many first-time buyers are still buying homes during this crisis, but things are different now than they were before the pandemic. Here is what you need to know as a first-time buyer during the coronavirus.<\/p>\n

\"Make<\/a>
Source: (Sharon McCutcheon \/ Unsplash)<\/figcaption><\/figure>\n

First: Know the rules are different everywhere<\/h2>\n

Before you begin shopping for a home, know that the rules about the industries deemed \u201cessential\u201d during the pandemic vary state-to-state and even city-to-city. If you\u2019re buying a home in the same market you already rent in, this fact might not impact you much.<\/p>\n

If you\u2019re buying in a new city or state, however, make sure you know the rules in your future hometown. For example, in states like Alaska<\/a>, travelers are required to go straight to their \u201cdesignated quarantine location,\u201d and remain there for 14 days upon arrival in the state. That means if you show up from out of state to shop, you won\u2019t be able to tour a home for at least two weeks (if tours are allowed at all).<\/p>\n

Note, too, that the rules are constantly changing and evolving, so check back often to ensure you\u2019re up to date on the latest policies. A local real estate agent or the local Multiple Listing Service (MLS) are good sources of information about what is and isn\u2019t allowed in your area, real-estate-wise.<\/p>\n

You can still shop for a house<\/h2>\n

\u201cThis is normally my busiest time of year,\u201d says Anthony Sacco<\/a>, a top-recommended agent with seven years of experience in Rehoboth Beach<\/a>, Delaware. \u201cMy call volume has decreased. The showing volume has decreased. I\u2019ve had a few buyer contracts fall through.\u201d Despite all that, you can still shop for a home, but some things will be a little different.<\/p>\n

\u201cThe rules of viewing a property<\/a> are different than before the coronavirus,\u201d says Sacco. \u201cIn our state, we can only show property under certain rules.<\/p>\n

\u201cThe first rule is you must be preapproved<\/a> for us to show you the property in person. If someone isn\u2019t preapproved, we can still work with them, but we have to have a virtual showing<\/a>, where I go to the house and walk the property while FaceTiming with them.\u201d<\/p><\/blockquote>\n

In Cleveland<\/a>, Ohio, where Brad Klimek<\/a>, an award-winning agent who specializes in first-time homebuyers, works, \u201cYou are only supposed to show the house to whoever will be on the title,\u201d he says. Despite the rules, \u201cpeople have still been bringing their friends and kids.<\/p>\n

\u201cI\u2019ve promised the seller that one or two people plus the agent will go through the house. If you show up with anyone else, I have to tell them, \u2018Sorry, I can\u2019t let you in.\u2019\u201d<\/p>\n

Another issue first-time homebuyers may face in the age of the coronavirus is a shortage of inventory. While inventory has been low for the past few years, \u201cso many people took their home off the market, it\u2019s extremely low now,\u201d says Klimek. \u201cNormally this time of year you might have 40 or 50 houses to choose from, and now you only have four or five. A lot of sellers are waiting for the virus to lift because they are scared for people to come into their home, even though Realtors are taking every precaution.\u201d<\/p>\n

\"Make<\/a>
Source: (John Guccione www.advergroup.com \/ Pexels)<\/figcaption><\/figure>\n

Your preapproval might need an update<\/h2>\n

While the process of getting preapproved for a loan hasn\u2019t changed (most buyers today do an online preapproval application anyway, Sacco says), the preapproval itself has changed since the virus struck.<\/p>\n

Some lenders are now imposing overlays<\/a> (in other words, increasing their standards), which means your price range might have changed because your approved loan amount is lower \u2014 or you may no longer qualify for a loan at all.<\/p>\n

\u201cOnce you go under contract, you have to get the formal loan approval,\u201d explains Klimek. \u201cSome people with preapproval letters are getting denied when they go for the formal loan application because they don\u2019t meet the requirements.<\/p>\n

\u201cThe banks are constantly changing requirements,\u201d Klimek adds. Because of the recent overlays imposed by some banks, Klimek says that some of his clients who originally qualified for loans found themselves ineligible when minimum credit score requirements were raised.\u00a0 \u201cThat essentially knocked a lot of people out of contract,\u201d he says.<\/p>\n

Closing<\/h2>\n

Sacco says that once the house goes under contract, \u201cclosing is different in today\u2019s world<\/a>.\u201d<\/p>\n

You\u2019ll still be able to get an appraisal<\/a>, but Klimek says he\u2019s seeing a lot more drive-by appraisals, even for FHA loans. These will be allowed through May 17, 2020, under current regulations.<\/p>\n

Depending on whether real estate is considered essential or not, you might or might not be able to get an inspection<\/a>. If you can get an inspection, don\u2019t expect to attend.<\/p>\n

Sacco says that in his area, \u201cbuyers aren\u2019t going to inspections<\/a>. Agents aren\u2019t going to inspections \u2014 it\u2019s only the home inspector.<\/p>\n

\u201cThe inspector is taking videos to loop in the buyer, in addition to the reports they provide, so buyers can get a better feel for the property.\u201d<\/p>\n

When it comes time to closing, Sacco says that in Delaware, they are moving to electronic notarizations. Not every state offers these, but many that don\u2019t are accelerating acceptance of this technical solution.<\/p>\n

Klimek says in Cleveland, in-person closings are still happening, but \u201conly the people on the title are allowed in the office, and they have to wear masks.\u201d Once the paperwork is signed, the paperwork is taken to a drop box outside of the court because no one is allowed inside. Additionally, \u201cthe courts are only open until noon, so trying to transfer the title can take some time,\u201d he says.<\/p>\n

Because of the delay, it\u2019s important to get title insurance. Klimek says that some of the big title companies are making sure both buyer and seller get title insurance (which isn\u2019t typically required). This is done so that as soon as they drop off the documents at the courthouse, the title insurance kicks in, and the buyer can take possession of the house before the title officially transfers to them.<\/p>\n

\"There<\/a>
Source: (Netrun78 \/ ShutterStock)<\/figcaption><\/figure>\n

Delays<\/h2>\n

Speaking of delays, \u201cthe virus has delayed every single aspect of the homebuying process,\u201d says Klimek. \u201cFrom being able to get into the house for a showing, to getting the preapproval, to having inspectors enter the house. Every single aspect is delayed from beginning to end.\u201d<\/p>\n

Though Sacco says most of his loans are generally closing on time, \u201cone of my USDA transactions was delayed a couple of weeks.\u201d Additionally, he says \u201csome types of loan transactions aren\u2019t funding. I had people doing bank statement loans (mortgages for people who are self-employed) \u2014 they closed on their house, and then we found out a couple of days later that those loans have been suspended temporarily.\u201d<\/p>\n

Klimek says that some of his clients have experienced delays because they\u2019ve encountered issues with sourcing materials needed to improve the home. \u201cI have an FHA deal closing, and the FHA appraiser did a drive-by appraisal of the property and said they needed a new railing for the porch. That\u2019s no problem in a normal market. But when the sellers went to buy the railing, they were told it was on special order because manufacturers are only focusing on the necessities, so the earliest the rail will arrive is June. What do you do?\u201d<\/p>\n

In order to divert some of the problems caused by delays, agents are adding a coronavirus addendum<\/a> to contracts. These extend the closing date and also offer other protections for buyers and sellers.<\/p>\n

Cleaning and moving<\/h2>\n

The final step in the homebuying process is the fun part \u2014 cleaning the home and moving into it<\/a>!<\/p>\n

Depending on the regulations in your area, you might or might not be able to hire people to help you clean and move. If you can\u2019t hire people to deep-clean the house before you move in, consider sealing the house up for three or four days after the previous owners move out, just to make sure the virus isn\u2019t alive inside the home (viruses need hosts to survive, and the coronavirus might live on surfaces for up to several days).<\/p>\n

If you do hire move-in help, open all the doors for the moving crew in order to minimize the surfaces they touch (including closet doors), turn on all the lights, and provide gloves and masks for them if you can. Open all the windows and doors in the house, too, to keep air circulating through. Once they\u2019re done moving your things in, wipe down all door handles and surfaces with an EPA-registered disinfectant<\/a>.<\/p>\n

Things will certainly be a little different than normal when you set out to buy a home during the coronavirus. Sacco points out that for a first-time buyer, it\u2019s now more important than ever<\/a> to work with a great real estate agent<\/a>.<\/p>\n

\u201cYou can\u2019t just go into a house or a new construction<\/a> office like you used to and say, \u2018Can I look at this?\u2019\u201d says Sacco.<\/p>\n

\u201cThe need for understanding the home buying process is even higher now. We can help the buyer understand how to get preapproved, who they need to talk to, and subsequently what types of properties will fit their needs.<\/p><\/blockquote>\n

\u201cFirst-time buyers usually need extensive guidance anyway, but now it would be much harder to buy without someone to guide you through the process from beginning to end.\u201d<\/p>\n

Header Image Source: (William Potter \/ ShutterStock)<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?<\/p>\n","protected":false},"author":163,"featured_media":16158,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"cybocfi_hide_featured_image":"","footnotes":""},"categories":[192,621,620],"tags":[711],"class_list":["post-16149","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-buyers","category-home-buyer","category-buy-house","tag-buyer-covid"],"acf":[],"yoast_head":"\nI\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?<\/title>\n<meta name=\"description\" content=\"If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?\" \/>\n<meta property=\"og:description\" content=\"If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/\" \/>\n<meta property=\"og:site_name\" content=\"HomeLight Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/gohomelight\/\" \/>\n<meta property=\"article:published_time\" content=\"2020-04-24T20:17:55+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-07-16T14:29:59+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/hl-blog.homelight.com\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1500\" \/>\n\t<meta property=\"og:image:height\" content=\"800\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Kim Dinan\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@kimdinan\" \/>\n<meta name=\"twitter:site\" content=\"@gohomelight\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Kim Dinan\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?","description":"If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/","og_locale":"en_US","og_type":"article","og_title":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?","og_description":"If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?","og_url":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/","og_site_name":"HomeLight Blog","article_publisher":"https:\/\/www.facebook.com\/gohomelight\/","article_published_time":"2020-04-24T20:17:55+00:00","article_modified_time":"2021-07-16T14:29:59+00:00","og_image":[{"width":1500,"height":800,"url":"https:\/\/hl-blog.homelight.com\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png","type":"image\/png"}],"author":"Kim Dinan","twitter_card":"summary_large_image","twitter_creator":"@kimdinan","twitter_site":"@gohomelight","twitter_misc":{"Written by":"Kim Dinan","Est. reading time":"8 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":["Article","BlogPosting"],"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#article","isPartOf":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/"},"author":{"name":"Kim Dinan","@id":"https:\/\/www.homelight.com\/blog\/#\/schema\/person\/1bf767601b9e6840678ab5dee9565bb7"},"headline":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?","datePublished":"2020-04-24T20:17:55+00:00","dateModified":"2021-07-16T14:29:59+00:00","mainEntityOfPage":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/"},"wordCount":1700,"publisher":{"@id":"https:\/\/www.homelight.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#primaryimage"},"thumbnailUrl":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png","keywords":["buyer-covid"],"articleSection":["Buyers","First-Time Homebuyer","Get Started"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/","url":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/","name":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?","isPartOf":{"@id":"https:\/\/www.homelight.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#primaryimage"},"image":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#primaryimage"},"thumbnailUrl":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png","datePublished":"2020-04-24T20:17:55+00:00","dateModified":"2021-07-16T14:29:59+00:00","description":"If you\u2019re a first-time homebuyer and were shopping for a house before the coronavirus, the pandemic likely put a wrench in your plans. But should it?","breadcrumb":{"@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#primaryimage","url":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png","contentUrl":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2020\/04\/coronavirus-first-time-homebuyer.png","width":1500,"height":800,"caption":"Source: (William Potter \/ ShutterStock)"},{"@type":"BreadcrumbList","@id":"https:\/\/www.homelight.com\/blog\/buyer-coronavirus-first-time-homebuyer\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.homelight.com\/blog\/"},{"@type":"ListItem","position":2,"name":"I\u2019m a First-Time Buyer: Can I Still Buy During Coronavirus?"}]},{"@type":"WebSite","@id":"https:\/\/www.homelight.com\/blog\/#website","url":"https:\/\/www.homelight.com\/blog\/","name":"HomeLight Blog","description":"Real Estate Advice from America's Top Agents","publisher":{"@id":"https:\/\/www.homelight.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.homelight.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.homelight.com\/blog\/#organization","name":"HomeLight","url":"https:\/\/www.homelight.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.homelight.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2017\/11\/logo-hr-color.png","contentUrl":"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2017\/11\/logo-hr-color.png","width":1348,"height":262,"caption":"HomeLight"},"image":{"@id":"https:\/\/www.homelight.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/gohomelight\/","https:\/\/x.com\/gohomelight","https:\/\/www.linkedin.com\/company\/homelight\/","https:\/\/www.youtube.com\/channel\/UCimugR9XF17-OZ7B9fNnxWw","https:\/\/en.wikipedia.org\/wiki\/HomeLight"],"description":"Everything you need to know to sell your house faster and for more money. Articles, guides, and advice from top agents all over the U.S.","email":"support@homelight.com","telephone":"(888) 688-0350","legalName":"HomeLight","foundingDate":"2012-01-01","numberOfEmployees":{"@type":"QuantitativeValue","minValue":"201","maxValue":"500"}},{"@type":"Person","@id":"https:\/\/www.homelight.com\/blog\/#\/schema\/person\/1bf767601b9e6840678ab5dee9565bb7","name":"Kim Dinan","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.homelight.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/c2af67af9a084dcc6d021094d7c9385edc59c2e96129e774280a35251d7fe335?s=96&d=blank&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/c2af67af9a084dcc6d021094d7c9385edc59c2e96129e774280a35251d7fe335?s=96&d=blank&r=g","caption":"Kim Dinan"},"description":"Kim Dinan is a writer, journalist and author. She's the outdoor news editor at Blue Ridge Outdoors and writes regularly for her local paper in Asheville, NC, covering everything from the necessity of home inspections to trends in the local economy. Kim is also the author of \"The Yellow Envelope,\" a memoir about the time she sold her house and traveled around the globe.","sameAs":["https:\/\/x.com\/kimdinan"],"url":"https:\/\/www.homelight.com\/blog\/author\/kim-dinan\/"}]}},"_links":{"self":[{"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/posts\/16149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/users\/163"}],"replies":[{"embeddable":true,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/comments?post=16149"}],"version-history":[{"count":0,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/posts\/16149\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/media\/16158"}],"wp:attachment":[{"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/media?parent=16149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/categories?post=16149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.homelight.com\/blog\/wp-json\/wp\/v2\/tags?post=16149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}