What will be the impact of the Coronavirus pandemic on the housing & mortgage industries? That’s the topic of a new “white paper” from Black Knight that does an early comprehensive evaluation of the current state of the market, the pandemic’s potential impacts, and explores the solutions and technologies that have the ability to mitigate negative effects. This paper will be, undoubtedly, one of many that will explore this very subject for some time. Indeed….
“The physical effects of social distancing could have an outsized impact on home sales. Curtailment of open houses and showings will likely have an immediate impact. During the SARS outbreak in 2009, Hong Kong real estate transactions declined by 331 – 722% and leading indicators such as in-person real estate showings and online real estate searches are suggesting similar declines may be seen in the coming weeks and months.”
“We could also see disruption to real estate and mortgage-related supply chains. The title, notarization, and appraisal processes, to name but three components of mortgage origination, have all historically required in-person interactions. County recorder office closures could also potentially impact mortgage closing volume. Delays in closings or public record data recordation – which would slow the availability of timely public record data – could also impact industry behavioral and valuation models, real estate indices and other tools.”