07 Dec 4 Reasons Why Now Is the Best Time to Sell Your Property
Considering all that is going on in the world today, many factors have homeowners feeling uncertain about selling their property- the Coronavirus, concerns about job security, a weakening economy. If you’re wondering whether it’s a good time to sell, this article can offer you clarity.
The hesitancy to sell is understandable but also conflicting, because this could possibly be the best time to sell your home. Real estate data suggests that it’s a seller’s market, meaning that buyers outnumber sellers right now. Below is a list of reasons to consider selling your property.
Demand is high and supply is low
As you know, supply and demand decide whether it’s a buyer’s market or seller’s market. It’s true that quarantines and lock-downs complicate things for home sellers, for instance, complicating the process of scheduling showings and open houses under COVID-19 restrictions. Last spring, the market went dormant in some parts of the country because of restrictions. However, with a vaccine on the way and states gradually loosening lockdown restrictions, this winter and spring (2021) may be a prime time to sell your home.
Realtors are already seeing signs of a rebound. Pending home sales are rising amid the recent talk of possible shutdowns. Places like Boston and Chicago remain tight markets with high demand. The strongest demand is in the suburbs and in smaller cities within close commutes of larger cities. Realtors see this shift arising due to the desire of many buyers to escape big metropolitan areas for more affordable homes in safer cities and towns. The higher demand for suburbs and smaller cities also comes from the sudden change from in-office employment to remote work. As Americans continue to work from home, more will be encouraged to migrate away from urban metro areas.
Prices Keep Going Up
Home prices continue to climb despite the economic effects of COVID-19. This presents the perfect opportunity for owners who want to sell for the most money. As a seller, you can get top dollar in the current market, and there is continued demand even at these higher prices.
In fact, according to the National Association of REALTORS®, the national median home price for a single-family home increased 7.7% to $274,600 in the first quarter of 2020. In many markets, that trend continues.
Record Low Inventory
One of the tell-tale signs of a seller’s market is low inventory. If there are not enough homes for sale on the market to meet the demand of buyers, then it’s an opportune time to sell your home. Insufficient supply has intensified as a result of the pandemic. Housing inventory is lower than it was this time last year. Some people attribute the shortage of homes on the market to the growing tendency of Americans choosing to stay in their homes for longer.
The shift to remote workplaces means you don’t have to worry about moving for a job transfer anymore. You can stay where you are and work remotely. Big tech companies are veering toward remote work more than ever before. This trend will continue into 2021 and perhaps beyond. The NAR data suggests that Americans are now spending on average 13 years in their current home before moving. Some realtors think the lower inventory is a result of not as many distressed homes on the market. This is because of the recent government stimulus support and mortgage forbearance as well as an extension of unemployment benefits during the pandemic. All of this bodes well for the home seller hoping to make a splendid profit off the sale of their home.
Record Low Mortgage Rates
Interest rates are now at record lows. This is bringing more buyers into the market. According to a recent Freddie Mac report, interest rates dipped historically low to 3.03% for a 30-year fixed-rate mortgage. This makes a home far more affordable over the lifetime of the loan. This is good for buyers and sellers.
We, at Cedar Home Buyers, can buy your property as-is, quickly and at full market price. Please send us a message to receive an offer.