We are now heading into the second half of 2021!
The BIG BUZZ phrase right now is “Market Softening“. We are hearing it all over the place. Some people think that means we are now balanced, others think nothing changed, and a few people are still saying we are crashing.
Let’s look at a few stats to show what’s really happening:
New Inventory is UP 5.8% month over month and 17.8% year over year
Our Months of Inventory is holding around a 1 month supply Our Avg. Sale Price is UP 37.8% from last year
What do those stats show us?
Low inventory is what has caused the bidding wars and swift increase in housing prices. Our inventory is now slowly starting to rise and is forecasted to continue that pattern. As the inventory increases and more homes become available, we will stop seeing massive bidding wars and housing prices will not increase as quickly. Economists are predicting that the second half of this year will bring us closer to a balanced market (NOT a crash).Sellers – you did not miss your chance. But, it does mean that if you’re looking to maximize profits and the home you want to sell isn’t a “pretty home”, now is the time to sell it and you need to be more realistic in your list price.
Buyers – Interest rates are still low making now a great time to buy. While the inventory may increase throughout the year, pricing is still anticipated to go up as well, albeit at a slower pace. If the right home becomes available, it’s time to make your move as waiting may mean you pay more later on anyways.
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