How has COVID-19 changed buying or selling a home?
This global pandemic has changed how we all do a lot of things. We are now wearing masks when we are in public, fine dining feels like a thing of the past, forget about a symphony or Padre game, but how about selling a home?
As a professional Realtor in San Diego, I’m sharing how the process of buying and selling a home has changed under current conditions. The most important changes to the process really involve the aspects of the transaction that revolve around people (i.e. marketing the home to find a buyer, the paperwork signing process, and the inspection/due diligence phases of the transaction) and the other activities that pose the greatest risks for transmission.
Here’s what has changed:
No open houses. This one is somewhat obvious as California State Law Makers and government health officials have issued stay at home and social distancing orders. Inviting the public into a home for sale during this pandemic would place everyone involved in unnecessary risk, and is currently against the law.
Each time a person enters a home for sale, that person is required to sign a PEAD form (Coronavirus Property Entry Advisory and Declaration) that explains the risks, government orders, rules to follow, and acknowledgements and more relating to viewing property during this pandemic outbreak.
Masks, sanitizing wipes, and hand sanitizer must be provided by the listing agent or the seller if agreed upon for any would-be entrants use.
Rules for showing the property should be posted in the MLS and could even be e-mailed to showing parties the day before to enhance the chances of compliance.
The listing agent has to be present for showings. The listing agent needs to ensure the home is prepped for showing to reduce the risk of COVID transmission. Windows and doors must be opened to increase ventilation, the home must be thoroughly cleaned and disinfected prior to any person(s) entering the home and again once they leave the home. Also windows, doors, closets, etc. should be open so no one has to touch any surface to experience the home.
The home needs to have posted Rules For Entry outside of the home visible for entrants to read prior to crossing the threshold into the home. The posted rules for entry can be removed when the property is not being shown.
All paperwork is electrotonically signed. While this has been a reality now for several years with existing technology, e-signatures are now common sense to reduce transmission. A friendly reminder that wire fraud is real and it is a crushing event when it happens. Be sure to align yourself with professionals and don’t ever act on anything without double/triple checking with your agent and/or any other officers party to the transaction.
Due diligence and inspections will still be done, with some slight modifications. Keeping in line with social distancing, most inspectors will ask to be alone during the inspection to maintain your safety as well as their own. A conference call with all parties safely in their car can be arranged after the inspection and the buyers ability to have a report to review and to reinspect, repair, and remedy anything it contained remains intact prior to removing any contingencies per an agreement.
Updates and changes are a near constant at this time as the situation continues to evolve. For all the challenges posed by this new normal, the silver lining is that some of the changes we are implementing may make the home buying and selling process safer and smoother.
There is a lot more information to the process and nuance to share, so feel free to give me a call anytime. I’d be happy to answer any questions you have, talk about your needs, and to share the current real estate best practices with you!
— M.D.