Home values & sales are increasing and home foreclosures and short sales have fallen significantly, but the lack of homes is slowing down the market. 2017 has been off to a great start, however our lack of housing inventory may slow us down. Buyer demand is still high, but there is just not enough inventory.
Here are the thoughts of a few industry experts on the subject (courtesy of KCM):
“Total housing inventory at the end of December dropped 10.8%...which is the lowest level since NAR began tracking the supply of all housing types in 1999. Inventory has fallen year-over-year for 19 straight months and is at a 3.6-month supply at the current sales pace.”
“More than two-thirds of the markets are seeing less inventory now compared to a year ago.”
“The dismal number of listings in the affordable price range is squeezing prospective first-time buyers the most. As a result, young households are missing out on the wealth gains most homeowners have accrued from the 41% cumulative rise in existing home prices since 2011.”
“The lack of affordable supply is really driving up home prices.”
“Tight housing inventory remains a constraining factor limiting stronger sales growth…
We expect further price growth to entice more homeowners to list their homes, particularly as existing homeowners have greater equity.”
Inventory is low and buyers are waiting for new homes to hit the market! If you are thinking of selling - act now. You still have time to prep your home for the highest and best return. Contact me if you are interested in seeing how to get the highest and best price for your home in the shortest amount of time!