10/02/2021
3 Important Reasons to Sell Your Home
Hi
Have you been planning to sell your home since last year?
It would be best to follow through with it before 2021 ends.
Ever since the pandemic started, the real estate market has skewed in favor of sellers.
Pent-up demand and record-low interest rates have led to a significant uptick in selling activity.
However, experts are seeing a reversal of this trend by early October.
What to expect on the first week of October?
Buyers will have more leverage during early October since this period is when housing inventory begins to rebound. There will be less competition among buyers and more competition among sellers.
Redfin reported a decrease in home sales as average real estate values climb above asking prices. Despite the fact that they can afford better mortgage rates this year, most buyers have decided to wait until more options enter the market.
As a result, Redfin saw the share of homes sold above the asking price decrease from 55% to 50.1%. The first week of September also saw 5% of listed homes getting a price drop.
As a seller, should this put a damper on your plans?
Definitely not. Let me give you a few reasons why:
1. The uptick in housing inventory is seasonal
If we are going to look at real estate data from a few years back, early October is ALWAYS a period when the housing supply along with price reductions pick up. However, this scenario won't stay for the long run since the real estate supply remains historically low.
2. High demand stays
Supply chain restrictions and labor shortages are delaying new constructions. We can expect this year's inventory shortage to carry over to next year. So, after we move past early October, we can still expect high demand among buyers.
3. Homes are still selling like hotcakes!
According to an August report by Fannie Mae, around 73% of people say that this Fall season is a good time to sell. The reason for this is that listed homes are receiving close to four offers. Despite the slowdown in buying activity, buyers are still motivated to move up. This would explain why average homes are selling faster this year than in the years prior to the pandemic.
Takeaway:
Recent reports say that this year's seller's market is on the brink of fizzling out.
But if we're going to compare today's market situation with data from previous years, the numbers remain favorable to sellers.
In short: It’s not too late!
The right conditions are still there, so you might as well take advantage of them before they start to evaporate.
You wouldn’t want to wait until mortgages rates and housing inventory start to climb back up. With that, there’s no better time to get your home listed than now.
Let’s connect and I’ll help you with selling your home before the year ends. If you would like to get started, I will give you a free no-obligation home valuation and give you helpful advice for navigating today’s market.
Call me at 917-627-5677 or send an email to [email protected]
Let’s talk soon!
Eli
