The Wuhan Virus Will Impact the Land Market

“Consistency is a Virtue”:

This favorite saying of mine is the result of being in my 48th year of land brokerage. I have learned that it is important for me to work with clients in their reality (how they see the world) rather than try to impose mine on them.

Our values lead each of us to see the world a certain way as we live our lives and set our goals.  Our actions result from our values and perception of the world around us. All we can ever ask of someone else is consistency.

When we mislead ourselves or allow others to do so, serious trouble is the result. The pandemic of the Wuhan Virus is a direct result of being misled. There is plenty of blame to be shared by past USA leaders, the media, and also our own negligence of being distracted by some short-term economic benefits versus realizing the danger into which we put ourselves, our families, and other loved ones.

The pandemic situation here in the USA is evolving hourly which makes writing this blog about the impacts on the land market quite challenging. Grant Massie is working remotely with one person each day going to the office to check on computers, enjoy the efficiency of being at the office, keep the paper files up to date, and gather the items they personally need for the next week. Yesterday was my day in the office and without trying I never got within 100 feet of a human unless they were working in a drive-in window.

I find that most folks are starved for human interaction. Every telephone conversation is a little longer. We all feel stress whether or not we reflect it. At the age of 70, stress makes me tired quickly so I have to pace myself.

This crisis is different from “The 2008-2010 Great Recession” as the financial impact is a result not the epicenter of the crisis. We started the year with so much economic stimulus flowing through the economy that the proprosed additional stimulus, both fiscal and monetary, is like an extra layer of icing on a Ukrop’s birthday cake. Great, cubed!

From our perspective the fiscal stimulus and the monetary stimulus are two of the necessary legs of a complete recovery. The third leg needed for this stool to stand up on its own feet is the medical community being prepared.  It appears to me that there are three phases of the medical community getting strong:

  1. Social distancing to take the top off the surge of infections so our hospitals can handle the patient load;
  2. The availability of therapeutics and equipment in sufficient quantities to cure those that are infected by the virus;
  3. The availability of a vaccine in sufficient quantities to protect Americans from this disease that is now with us forever.

From my reading it seems the first phase will be achieved in April, the second phase in late June, and the third phase in the fall of this year or no later than next spring. As we hit each of those milestones we will transition toward a new normal. Once again, the old normal is gone.

Hence, I see the impacts on the land market being different in the short term (the next 12 months) and the long term (2-5 years).  It will take a while for our economy to recover.

Additional good news is that there still is a land market. It is different than what existed the first of this year, but the market is functioning. Our data is reflecting the impacts, but it is too early to be able to discern the difference between a short-term blip and a long-term trend.

As horrible as is the Wuhan Virus pandemic, daily I thank my Lord and Savior that the USA has awakened from its misguided slumber. God did not cause this problem or any of the ripple effects. The Wuhan Virus pandemic is totally of human origin, a severe miscalculation on the part of Premier for Life (Dictator) Xi and the Central Committee of the Chinese Communist Party.

Christ taught us that life is a precious gift from God, there are no exceptions. Secular America wants there to be exceptions, but the Bible is quite clear. That is the bright line that divides Christians from pagan/heathens. We Americans forgot that the Chinese Communist Party is not Christian, they persecute Christians. So we made decisions based on our reality, not theirs.

In the words of Reverend David Jeremiah on page 95 of his devotional entitled “Quest”, Reverend Jeremiah wrote:

“It is easy to declare our faith in God when we think we know the outcome. And it is easy to see faith erode when the outcome becomes less certain. But faith means having faith in God, not faith in the outcome. Faith in God means that whatever God chooses to do – deliver us from a trial or not – we are committed to trusting Him and His plans and His purposes.”

Stay Healthy. God is in control.

Ned