With low interest rates and supply of homes down, Danville becomes hot real estate market | Business News

Robert Bridgforth with Wilkins & Co. Realtors said the boom has been going on since about January.

“Sellers are getting multiple offers within two weeks of listing dates. The historically lowest interest rates, sometimes below 3%, are driving buyers to commit to 30-year fixed rates,” he said.

Moody also cites the low interest rates, but added that some workers actually got an economic boom during the pandemic.

“The essential workers are working extra, and the workers who got temporarily laid off got an economic boost from the government,” she said.

That can be tricky, though. She said that workers need to be back at work for a couple of paychecks before being approved for a home loan.

One of her clients had to postpone his new home search because he took a free pass on a house payment, which disqualified him.

Another way the pandemic has helped the market is through the programs of the federal government, Bridgforth believes.

“The White House, so far, is doing its job well in supporting the economy during this pandemic. For instance, the Payroll Protection Plan, unemployment compensation, mortgage forbearance and subsidies, rental payment assistance, eviction forbearance, utility payment forbearance and utility cut-off forbearance are all preventing an economic recession,” he said.