Though she admits that the real estate market is still vulnerable to turbulence, “Shark Tank” star and real estate investor Barbara Corcoran claims the “uncertainty” could offer a silver lining for buyers.
“People don’t like to buy in uncertain times. People worry. People at home are worried about their futures and nervous about everything, and the last thing they do is want to make a large commitment to anything,” the Corcoran Group CEO said Thursday on “FOX & Friends.”
“They hesitate, but again, there’s a hesitation right now that I’m sure is short-lived,” she added. “It’s not going to last forever when things settle down.”
MORE ‘PAIN’ FOR REAL ESTATE? EXPERTS DIVIDED OVER TRUMP’S TARIFF IMPACT ON HOUSING
Real estate experts have been torn over the impact of President Donald Trump’s tariff tensions fueling a volatile market, and thus a shaky market’s effect on U.S. housing.
As of Thursday morning, the Dow, S&P 500 and Nasdaq Composite are making a run for the third straight day of gains as Trump weighs taking a lighter approach to tariffs with China and potentially the automakers.
U.S. mortgage rates are largely unchanged from last week, with the national average of a 30-year fixed-rate mortgage at 6.9% and a 15-year fixed-rate at 6.11%, Bankrate reported. However, they did hover just above 7% shortly after the April 2 tariff executive order.
Macroeconomic pressure from the tariffs “causes uncertainty in the commercial market,” Corcoran said. “Large companies aren’t committing to long leases. It causes tremendous uncertainty in the buyer market… buying new homes, buying old homes.”
“Last month, we had almost 14% of all contracts fall apart, which is very unusual. Last time we saw it was right on the heels of COVID. People got scared, but then the market came back by storm. But that’s exactly what’s going to happen here,” she expanded.
“We have so much hesitation in the market, and it’s giving us an opportunity for buyers to make a good deal.”
If investors are moving any money out of the stock market, Corcoran encouraged reallocating that capital into real estate sooner rather than later.
“It’s a much more stable environment, of course, because I love real estate, but I’m doing it myself. I have taken so much money out of the stock market. I’ve gotten great deals this month,” she noted. “The deals that turned me away four months ago are coming back to me. So I know it’s a good time to buy.”
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FOX Business staff contributed to this report.
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