Milwaukee Market Update June 2020 - why the market is so hot

[Marcus Auerbach]

It feels like it was just a few weeks ago when the US got hit by the pandemic, states were going into shut down and we all got worried if we are going to see rents come in on April 1st. Evictions were suspended and newer investors pulled out of deals or asking for advise here on BP. Is the real estate market going to crash? Are we going to see home prices drop? For a while I was a little nervous too; heck - Grand Cardone was in trouble (or was he.)

Anyway, fast forward to June: rents have come in almost better than usual and the market did not crash, just to the contrary. Covid19 has had a very short lived effect on Buyers, after about 2 weeks in lock-down, we saw activity levels increase slowly at first, but furiously in the last weeks. Seller's on the other had have been more shaken by Covid: after all, selling a home means a bunch of strangers come right in you bedroom. So the unexpected result is that we are seeing an inventory squeeze and prices are being pushed up way over asking by multiple offers.