Real Estate Matters
By Elisa Jo Eagan
Absolutely. Here’s why you shouldn’t wait any longer to put your home on the market. It is currently one of the most active real estate markets in recent memory, with buyer demand at an all time high.
Low interest rates and multiple offers are commonplace, driving up home prices, giving homeowners unprecedented levels of home equity.
However, interest rates are on the rise. While they are still low, when coupled with less affordability in most markets and the potential for multiple buyer offers, any rise in rates may be enough to cool off the red hot seller’s market. If rates continue in an upward trend, this may mean less activity in the spring market and less incentive for buyers already frustrated by low inventory and months of fruitless searching.
The rising number of people being vaccinated and the loosening of Covid-19 restrictions may soon lead to a return to more normal housing availability-and less overwhelming buyer demand. That could mark the end of multiple offers and unprecedented high home values. By putting your home on the market sooner rather than later, you can take advantage of what could be the last gasps of this increased demand before a return to a more standard market.
One of the biggest stories in real estate has been the mass exodus of buyers from condominiums in urban markets to suburban and rural single-family Homes. However, increases in buyer demand are now being seen again in cities like New York City, Chicago and Boston. While this is good news for property owners in the cities, it may mean reduced demand in suburban and rural markets.
Also business as usual may mean more distractions. Friends and family are looking forward to travel, entertainment, concerts, and dining out. That may leave less money dedicated to down payments and mortgages.
New Construction has ramped up to meet demand. Frustrated Home buyers turned off by competition in the resale market have turned to new construction. Housing starts have soared to levels not seen since 2006. Many buyers may be willing to wait for a new home rather than settling for an existing home that they’re not in love with.
Timing is one of the most important factors when deciding whether or not to list.
With a return to more social and market conditions, many sellers who’ve been holding their breath waiting for the perfect time to sell may decide to list their home.
Waiting too long can complicate pricing of the home to sell. Some sellers may find themselves settling for far less than they expected from their home sale. Buyers with more options won’t be as inclined to participate in multiple offer bidding wars and will almost certainly be expecting to negotiate contingencies and repairs.
The best way to know what is going on in your local market-and what’s on the horizon-is to talk with a knowledgeable local real estate agent/broker. A specialist is able to guide you and provide you with helpful information such as recent sales in your area and to help you to evaluate current trends to assist you based on your own specific real estate needs.
Elisa Jo Eagan ABR, CRS, GRI Military Specialist
Realtor-Broker Associate
BALSLEY LOSCO REALTY
1630 New Road
Northfield, New Jersey 08225
EJCE@aol.com
www.AtlanticCapeHomes.com
Full Time Awarded Professional Realtor Since 1985.
