2021 – The Year of the Home Seller
There’s no doubt that 2021 is the year of the seller when it comes to the housing market. If you’re a homeowner thinking of moving to better suit your changing needs, now may be the perfect time to do so. There are many factors is your favor. Low mortgage rates are pushing buyers to seek quality homes and when you decide to buy, the low mortgage rates will make your dream home even more affordable. High buyer demand may give you the leverage you need to negotiate the best contract terms on the sale of your house. Here’s a look at what’s driving this sellers’ advantage and why there’s so much opportunity for homeowners who are ready to move this season.
Historically Low Inventory
There are many reasons for the low inventory levels that have persisted for the last many months. New home building has lagged behind demand for several years. Current homeowners are staying in their homes longer. While we have seen a brief uptick over the past couple of months, inventory remains near an all-time low.
High buyer interest is creating a major imbalance between supply and demand, but as the small uptick in inventory shows, sellers are beginning to reenter the market. Selling your house now enables you to take advantage of buyer demand and get the most attention for your house – before more listings come to the market later this year.
Frequent Bidding Wars
As a result of the supply and demand imbalance, homebuyers are entering bidding wars at an accelerating rate. NAR reports the average number of bids received on the most recently closed sales is 4.8 offers. This number has doubled since the first quarter of 2020 (See graph below):
As buyers face increasingly tough competition while searching for homes to purchase, they’re more likely to be flexible and generous in their negotiations. This gives a seller the opportunity to choose the best buyer for their needs and be selective about things like time to close, contingencies, renovations, and more. Working with your trusted agent is the best way to determine how to navigate the negotiation process when selling your house.
Days on Market
The averages days on market nationwide has decreased from 41 days at the beginning of January 2020 to 18 days in March 2021.
Other Resources from Our Blog
Patience is the Key to Buying a Home this Year: Link
Should I Buy or Should I Wait?: Link
Mortgage Q&A w/Luke Stevenson from Amerifirst Mortgage: Link
About Log Pond Realty
Home is where your story begins. Home is where hopes and dreams are born, memories are made, and lives are lived. We would love the opportunity to assist you in writing your new story.
We service the Triangle region of North Carolina including Raleigh, Cary, Apex, Holly Springs, Morrisville, Fuquay-Varina, Durham, Chapel Hill, Wake Forest, and Garner.
Contact us: 919.589.3576 | firstname.lastname@example.org