5 Ways the 2020 Housing Market Shocked the Industry

The entirety of the 2020 housing market could be described by many as a “surprise,” but John Burns Real Estate Consulting asked its clients and colleagues which trends were the most shocking. A swift change in selling homes came as a surprise, says John Burns, for both builders and buyers. Home builders adjusted their selling methods rapidly toward virtual tours, private appointments, and online home buying. Some builders were surprised to see older buyers embracing the online sales methods, in addition to younger buyers. And according to Redfin, 63% of offers were sight unseen in December.

The federal government stepped in quickly to help in an economic crisis. The stimulus packages that the US government put into place as a matter of helping consumers, homeowners, and businesses was unprecedented, and the speed it was enacted with was a surprise to many. 

According to the December issue of the Economist (12/10/20), “Roughly 20% of all dollars in existence were created in 2020.” If President Biden’s proposed stimulus package is enacted, the US government would have put $5 trillion into the US economy in less than one year. The stimulus gave consumers the confidence they needed to buy homes or, in some cases, assist with down payments.

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