Investing In Your Home During COVID-19
We’re currently in uncharted waters with the recent pandemic of the Coronavirus COVID-19, shuttering businesses and postponing jobs; this novel virus has stalled the global economy and created a massive public health call-to-arms for most countries - especially here in America. This episode has the potential to put not only lives, but livelihoods at risk. While the complete story of this virus has yet to be told, many experts are projecting a familiar narrative — economic recession.
During the Great Recession of 2008 our country was in dire straits and overarching strategic action was needed. This time it will be no different, and Washington knows this. During that time it was pretty hard to see a light at the end of the tunnel - but there was one for those who looked hard enough. We all know what many of the flaws were with the economy in 2008 (and if you don’t you can read more about them here) suffice to say - those flaws aren’t around anymore. What’s wrong with America’s economy? Nothing, it’s just on hiatus.
On average across the United States in 2007, a $325,000 home lost it’s value by approximately 15.4% bringing it to $275,000 after a period of two years. Prices would bottom-out in 2009 and after those two years of decline, they began to rise again. Not until 2012 after a period of three more years did the value return in full. The cycle was complete and it took five years to run its course. The upward trend continued, gaining steam until Q2 of 2020, when the first news of the Novel Coronavirus that causes COVID-19 began to emerge.
The five year period of decline and appreciation can be seen in the chart above as a ‘U’ shape. Economists are predicting a much sharper ‘V’ shape and a quick bounce back in the years ahead.
“V-shape: The hope is that, given trillions of dollars in government aid, the economy will be able to flip a switch just as quickly as it shut down. Once the spread of the virus slows businesses will be able to open their doors, people will return to work and the economy will make a speedy recovery. That's what economists call a V-shaped recession, and some think it's possible, now that the Federal Reserve and Congress have committed trillions of dollars to rescuing the economy.” - Source; CNN
If correct, your home could retain its value longer and begin appreciating faster. With the forecasted information it may be a good time to invest in your home today to prepare for the inevitable upswing that sure’s to be on the other side of this pandemic. Certain additions, upgrades or remodels could potentially pay dividends in the years to come as the virus is contained and daily life resumes. Services to consider, from simple fixes to enhanced lifestyle and amenities can deliver real ROI further down the road — even if it looks like it’s going to be a bumpy road.
Professional Painting & Residential Residing both can add much needed curb appeal to a home, while establishing additional longevity to protect the structure (and its inhabitants) through the long haul. The durability of James Hardie siding products is unmatched in the marketplace. Their patented Cement Fiber products come with a 30 year warranty and we have our own 7 year workmanship warranty on top of it. You can rest assured that your home will look better and stand stronger with this great coverage.
Creating additional living space - especially outdoor living space also brings value to your home, not just today - but for the future as well. Custom decks, patio covers and pergolas add beauty and functionality for you to enjoy. With Spring well on it’s way now is a great time to consider moving forward with a project. Our free estimates and quick turnaround times allow you to sit back and relax while we expedite the work. Curating the perfect outdoor space can also add unexpected health benefits for you and your family during these times. According to WebMD some of the advantages include, helping you get vitamin D, lessens Anxiety, improves sleep, helps you feel better about yourself, gives you better immunity, and even boosts creativity.
It's true that these times can be a little overwhelming, but we’re all in this together and we will make it through. Make the right plan for the future because as the old saying goes, “This too shall pass”.