LUBBOCK, Texas — A number of things have changed since the start of the pandemic, including what people choose to invest in. According to real estate professionals, one thing on the rise is the number of people interested in investing in real estate and land, such as ranches and farms.
Paul Dannevik, Senior Vice President of Lubbock National Bank, said since March 2020, as many States began to shut down and pause production, mortgage applications went up.
“Instead of how everything els kind of slowed down it seemed like that market really picked up,” said Dannevik.
According to the City of Lubbock, residential sales have continued to climb over the past year. Real estate professionals said there are many factors that could contribute to the growth.
“People working from home [realized] they want more space or want something different,” Dannevik said.
Homes are not the only real estate high in demand. People are actively after land, as well.
Sam Middleton, owner of land broker firm Chas. S. Middleton and Son, said his sales are booming.
“It matches or exceeds anything I’ve seen in my 50 years and I think the main factor that is causing that is these cheap interest rates,” said Middleton.
The growth is not just in Lubbock. People are buying property across the country in record breaking numbers. Middleton said many people see real estate as a safe investment.
“Some of these people I deal with are sitting on hundreds of millions of dollars and they want to invest that money into real estate because they think it’s a safe investment,” said Middleton.
Middleton said that ranches and farms are solid investments, but only if people intend to hold onto the property for a few years.