The local real estate market seems to be changing. Is it still a sellers market?
In one word – YES! Buyer activity is up almost 15% since last year, while the number of homes for sale is down almost 30%! Why are homes for sale down at a higher percentage? COVID was a major factor. The pandemic led to so many delays in new construction that it just hasn’t caught up yet. The low interest rates we experienced during that time flooded the new home market with buyers.
Another pandemic effect was people were reluctant to list their home for sale and have many people walking through it and potentially exposing them to the virus. In addition to the pandemic effects, the new home industry was already down over the past ten years due to a large generation of first-time home buyers entering the market, while the older generation is hanging onto their homes longer. There are many “potential” sellers out there, but they become reluctant to list because, well, due to low inventory, it can be challenging to find their new dream home, so the cycle repeats.
According to ShowingTime®, sellers are receiving on average 3.8 offers after their home is on the market for an average of only 18 days. Potential buyers are scouring the internet waiting for the perfect home to hit the market, and with interest rates rising, buyers are eager to close the deal quickly. That said, home buying and selling is always dependent on your personal situation, so, if you’re ready to make a move, now is the time to speak to your favorite REALTOR® for professional advice!