If you thought about selling your house this year, now may be the time to do it. The inventory of homes for sale on the national level is well below historic norms, and buyer demand is skyrocketing. We were still in high school when we learned the concept of supply and demand: the best time to sell something is when supply of that item is low, and demand for that item is high. That defines today’s real estate market.
Jonathan Smoke, Chief Economist at realtor.com, revealed in a recent article that:
The biggest challenge to buyers this spring will be simply finding a home to buy and getting it successfully under contract. That’s because the supply of homes for sale is at an all-time low, and yet demand is strong and getting stronger.
Smoke goes on to say:
We started the year with the lowest inventory of homes available for sale that we’ve ever seen on realtor.com. While we did see inventory grow 2% in February, total inventory was down 11% over last year.
Most recent Washington D.C’s Housing Market Update also shows low inventory:
- March active inventories of 8,648 decreased 11.5% compared to last year.
All property types showed decreases in inventory levels over last year, with condo inventories down16.5% to 2,238, townhome inventories down 13.1% to 1,476, and single-family detached inventories down 8.5% to 4,926.
Across the region, inventory levels dropped everywhere except Fairfax City (+17.9%). The largestdecline was in Fairfax County, where they dropped 17.5%, followed closely by Montgomery County, where they decreased by 14.8%.
In this type of market, the sellers may hold a major negotiating advantage when it comes to price and other aspects of the real estate transaction including the inspection, appraisal and financing contingencies.
If you are thinking about selling your house, let’s meet for no obligation seller’s consultation. Please book your consultation here.