Real estate reclassified as an ‘essential industry’ during COVID-19 crisis

By the Daily Post staff

The federal government has reclassified the real estate business as an “essential industry” during the coronavirus outbreak.

The California Association of Realtors said Saturday that commercial and residential real estate services were included on an updated list of essential services from the U.S. Department of Homeland Security Cybersecurity and Infrastructure Security Agency.

This list was used to determine what California industries were told to limit operations by Gov. Gavin Newsom’s stay-at-home order, the Orange County Register reported.

The association told its Realtor members on March 20 that any face-to-face real estate sales — then a “non-essential” service — should be halted. That not only put into question how homes would be sold, but if deals awaiting closing could be completed.

“Of paramount importance is that any activities be undertaken with the strictest adherence to health and safety guidelines,” said Leslie Appleton Young, the association’s economist.

No open houses

The association said this new “essential” designation does not mean back to business as usual.

For starters, rules of cities or counties will determine how home sales are conducted at the community level, the association’s advisory noted.

Stricter local business rules and statewide health mandates must still be followed, the association stated.

“No open houses should be held” and “showings should be done virtually, if at all possible,” the advisory stated. Agents were advised to “take into account the health and safety of their clients and fellow” real estate agents.

The association’s advisory noted the challenges present by the virus: “Notwithstanding this new development, all real estate licensees must take into account the health and safety of their clients and fellow licensees, and follow the existing protocols for protecting against the spread of COVID-19. If such health safeguards and protocols are not followed, the rule for the state could easily change to stop or restrict all real estate activity.”

1 Comment

  1. What gives the government the right to decide who will close and who will stay open? This is an overreach. I want the Constitution back!

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