Adapting Real Estate Operations During a Pandemic: Virtual Tools and Safety Protocols

The COVID-19 pandemic necessitated an immediate and fundamental shift in real estate operations, moving the industry towards virtual tools, enhanced safety protocols, and revised contract language to maintain transactions. This guide outlines the core strategies developed during the early stages of the pandemic, focusing on virtual tours, electronic closings, and clear communication to safeguard clients and agents.

What Are the Key Policy Changes for In-Person Activities?

The most immediate challenge involved re-evaluating all face-to-face interactions. Brokerages quickly instituted new policies for in-person activities to minimize health risks. This included suspending traditional open houses and implementing strict guidelines for private showings. Key changes encompassed:

• Listing Consultations: Moving initial meetings with sellers to video conferences.
• Property Tours: Limiting in-person showings to serious, pre-qualified buyers and requiring health screenings, masks, and the use of hand sanitizer on-site.
• Broker’s Open Houses: Replacing these with virtual broker’s open houses, which are online events where real estate agents view new listings remotely via live video.

These policies were designed to align with public health recommendations for social distancing while allowing essential real estate activities to continue.

How Can Technology Facilitate Virtual Real Estate Transactions?

Adopting technology became critical for business continuity. The focus was on replicating the home-buying experience as much as possible online. This involved two main technological solutions:

1. Virtual Tour Tools: Agents utilized video chat platforms to conduct live, interactive property tours. Additionally, 3D Matterport tours and high-quality video walkthroughs became standard listing features, allowing buyers to explore homes remotely.
2. Electronic Closings (e-Closings): To address potential courthouse closures, real estate attorneys and title companies developed contract addendums to enable remote closings. An e-Closing allows documents to be signed digitally, a process that often involves remote online notarization (RON), which is legally recognized in many states.

The rapid adoption of these tools demonstrated the industry's resilience and opened up new, efficient ways of conducting business.

What Contract and MLS Adjustments Support Social Distancing?

Beyond day-to-day operations, formal systems like contracts and the Multiple Listing Service (MLS) required updates. An MLS is a database established by cooperating real estate brokers to share data about properties for sale. To support social distancing, industry leaders advocated for MLS policy changes, such as adding specific fields to indicate if a property offered a virtual tour or if showings required special health protocols. Furthermore, standard purchase agreements were amended with addendums to address pandemic-related delays, such as those in obtaining mortgage commitments or conducting appraisals.

How Should Agents Communicate with Anxious Clients?

Clear, empathetic, and proactive communication was perhaps the most crucial element. With clients experiencing high levels of anxiety, agents had to provide reassurance through transparency. Effective communication strategies included:

• Outlining new safety procedures before any in-person meeting.
• Being upfront about potential transaction delays.
• Providing regular updates, even if there was no new information.

This approach helped manage expectations and build trust during a period of significant uncertainty.

The key to navigating a market disruption is flexibility and a commitment to client safety. The widespread adoption of virtual tools is likely to have a lasting impact on the industry. For a successful transaction, ensure you understand the available technology platforms and insist on clear safety protocols for any necessary in-person interactions.