Fistfights breaking out at your brokerage over the possibility of gaining a listing? Just in case the dog-eat-dog listing races and woeful number of affordable homes on the market for buyers weren’t enough of a confirmation of real estate trends, Trulia and Realtor.com statistics have finally confirmed: It’s a seller’s market.
Strongest Seller’s Market Ever
Brand-new spring housing market numbers have confirmed the trend, looking to statistics from the country’s 100 largest metro cities. Boiling the trends down by zip code, it uncovered a shortage of homes nationwide – a deficiency that hasn’t been this bad in 20 years.
Inventory for March is down 6.6% from a year ago, and unsold inventory a 3.8 month supply. (A balanced market is a 5-6 month supply.) This has led to monthly rises in home prices, up nationally 5.7% for February, year-over-year.
As buyers frantically search for affordable homes, the market is getting increasingly competitive, with first time buyers experiencing the greatest hardship. Even as more homes enter the market for the popular summer sales season, they’re flying off neighborhood shelves fast. And at entry-level, where demand is greatest, sellers remain firmly in the driver’s seat.
There’s no shortage of people on the lookout for a new home. And though people prefer a home that’s move-in ready over one they have to upgrade, its concession-time in a market where bidding wars are par for the course. Sellers are optimistically pricing their homes – and most are selling anyway.
To compete, buyers are dropping contingencies and coming in with cash. Multiple offers are the new norm. Worse, real estate trends of home appraisals regularly coming in well below sales price are dropping a wrench in the works for would-be first-time, mortgage-dependent buyers.
What are you doing to rise above the competition in today’s seller-centric market? Stand out with the tools and technology of Properties Online today.