The White-hot Market for Sellers is Shifting
It’s been a seller’s market for a few years. Those who have wanted to move (or sell to take advantage of the market) have had and easier time. However, several factors indicate that landscape is shifting. The hot seller’s market may be beginning to cool.
If you have thought about selling your home, now is the time to have serious conversation with us or your realtor. There is still a chance to sell for top dollar if you move quickly. Here’s the top reasons to make the move now.
1. There will be more listings
In the past, inventory has been very low, and there simply weren’t enough homes on the market to keep up with buyer demand. Some listings even created a bidding war.
Statistically, the number of homes being put up for sale is increasing, albeit slowly. What this means is buyers will still outnumber inventory, for now. If you put your home up for sale now, you will have an advantage over your neighbors who will eventually see this trend and jump into the market.
2. You still have a profit opportunity
Home values- what the market has been willing to pay- has risen significantly over the past seven years. In January 2012, the U.S. median home price was $154,700. Today, that figure has nearly doubled—to $289,300—with sellers reaping the benefits.
However, Realtor.com data shows price drops of up to 15% in some areas in January.
But that is not necessarily bad news. Stabilized prices and still-reasonable mortgage rates are keeping buyer demand for houses up. Home prices are still rising too, just not the meteoric rise of the past few years.
A good strategy is to list your home as early as possible this year for the greatest potential on a higher sales price and shorter days on the market.
3. There’s high demand for homes under $300K
There’s more good news if you own a home below the national median price of $289,300. Not only is that inventory increasing at a slower rate than its luxury counterparts, but there are more buyers shopping at those price points.
4. Mortgage rates are at a new low
Something strange has been happening over the past few months. Experts predicted mortgage rates would rise—and at the end of 2018, they were indeed ticking upward as expected.
Realtor.com reported that rates on a 30-year fixed mortgage have been falling since the beginning of the year, sliding to a new 12-month low of 4.37%. Low mortgage rates means increased buyers in the market.
This temporary dip in rates creates an opportunity for trade-up buyers as well. After all, if you’re selling your home, there’s a good chance you’ll need to buy another one.
This makes it not only a great time to sell your home, but also to look for a new one.
5. Millennials are flooding the market
Historically, people tend to buy their first home around age 30, and there are about 5 million millennials turning the big 3-0 this year. Millennials are increasingly a driving force in the housing market, including older ones in the group who already own a home looking to trade up.
The best place to start is understanding the value of your home. You can start with our fun and free Home Valuation tool. But please do get in touch– we provide a complimentary market evaluation, including what comparable home in your area have sold for- great information you need now!