Philadelphia's 2020 Housing Market was Blooming; Experts Wondering If It Will Be The Same in 2021

According to Philly Mag, the 2020 real estate market of Philadelphia was a booming success, despite the ongoing Coronavirus outbreak nationwide. Both the sector markets for city and suburb real estate were on the rise in 2020. There are multiple reasons to why that happened; experts believe that it will continue in 2021.

One of the main reasons why the said market is blooming is that many Philadelphian residents have decided to do some splurging in the market, despite the current ongoing pandemic. Add to that splurging the easily accessible and super-cheap debt allowances wherein it resulted in the bloom of the Philadelphian real estate market.

Another reason for the sudden boom in real estate sales is the lifting up of the restrictions of the Pennsylvania local government on the said market. This opened the floodgates to many customers who want to invest and buy new real estate properties at that time. The sales record of the market has skyrocketed, and this happened in May 2020. The said boom caused an inventory shortage over the summer, and the sales of the real estate properties still continue to fly off the shelves.

The third reason for the sudden boom in the said market is that many people from most major cities are migrating to Philadelphia, mostly New Yorkers. They are looking for new homes away from the bustling city in order to avoid the risk of getting infected. Another thing that most New Yorkers dislike from their location of origin is the very expensive prices of most housing properties available (if there are any).

The demand for a new spacious home, along with the drive of avoiding the public, has risen the sales of the real estate market in the said area. Most city folks are tired of living in cramped spaces, and now with the threat of community transmission, many are desiring to move to a place away from the crowd.

Some Notable Forecasts of Real Estate Experts on the Philadelphian Housing Market

According to Noranda Real Estate Investments, there would be an increase in the housing market overall, especially in the upcoming year. Thanks to the home price appreciation that happened between 2013 and 2014, the housing market in the said location even became much stronger and reliable than ever. Furthermore, just last year alone, that appreciation of the prices in the market have increased yet again, with an increase of 5.4%.

Those increase in the home price appreciation meant that the market was doing very well, unlike in other real estate markets by that time. That helped the market to survive the whole 2020, especially during the hard lockdown period in the summer months.