Is the Real Estate market really not going to take a hit?

[Account Closed]

I have been watching the last 4 months in absolute awe. Unemployment is through the roof, businesses are going bankrupt, most people are staying home not spending money yet the stock market and Real Estate market are doing great. The US government has done a lot to try and curb the effects that Covid has had on the economy but can it last? The housing market in my local market, Richmond, VA, is red hot. Interest rates are super low and the inventory is low so I feel those two factors are carrying the market for now but how long can that last? We have already seen a steep decline in higher end properties across the nation. I fear people are being lured into a false sense of security with the current market conditions and are not preparing themselves for the fall out. Thoughts?

[Trey Mattox]

Another factor I feel is at play are those unemployment benefits.  Most who are receiving these benefits seem to be making more now than when they were employed.  This may be delaying the impact the current situation will have on the market.  That coupled with the forbearance availability are pushing the effects on the market back a little bit.  We will have to see how the government responds next to fully anticipate what the future may hold.