If the opportunity to sell your home suddenly presents itself, the question is, would you take it?
Real estate can be the ultimate investment. Much like other financial endeavors, and key lifestyle decision making, knowing how to play the game is half the fun. Asking yourself “Is this the year to sell my house?” is the first step. Understanding the industry, and the best time to walk away or jump back into the thick of things is a must if your end goal is to come out with the most lucrative offer.
2020 may not have been the best year for businesses as a whole, but due to the record low mortgage rates that emerged, buyer demand for houses subsequently increased. Due to the principles of supply and demand, this caused what few houses remained on the market to go up in value. In fact, the latter half of the past year was a haven for home sellers, and it doesn’t seem like this is going to change anytime soon.
A changing market
An established real estate blog, Keeping Current Matters, notes that around 59% of consumers believe that right now is the best time to sell a house. This is again due to the limited number of homes available, which are clearly not enough to meet the skyrocketing demand.
Because of the pandemic halting several industries, 2020 ushered in record-low inventories for the housing market. With the world still currently reeling from the effects of nationwide shutdowns and office closures, you can expect any house put up for sale to go fairly quickly. You can even anticipate that you’ll be getting multiple offers for any home you’re willing to sell. Some possibly higher than your asking price. In addition, though interest rates are expected to remain steady in 2021, the meager supply of houses in the market will ensure that real estate prices will continue to rise while home sellers walk away with a decent bit of profit.
- In the US, home prices increased almost 8% from the latter half of 2019 all the way to the third quarter of 2020. This was due in part to people suddenly being forced to work from home during the pandemic.
- Those who anticipate they might never fully return to the office full time, searched for houses with bigger spaces to convert into home offices in order to suit their needs.
- Also playing a part: opportunity knocking! The boom of home businesses and work from home opportunities, which spurred consumers to be more mindful and conscious of their living spaces.
- Low mortgage rates also enticed people to start buying, despite the inventory of houses for sale remaining low.
Is this a good time to sell my house?
According to experts, much of the same is anticipated for 2021. Though vaccination rollouts have already begun, it is very much likely that the fabric of life will never be exactly the same, and people will continue to invest in houses that can accommodate them. This will go on even in the winter months, which historically are the slowest months for real estate with spring and summer being the more popular seasons due to people being willing to venture outdoors and make changes.
However, as things continue to improve, you can’t expect that this crescendo will go on forever. As Keeping Current Matters also states, this so-called sweet spot for sellers is only thought to last for the first half of 2021. By the second half of this year, more houses will likely become available again and this will in turn lessen the urgency for buyers who are looking to purchase.
Taking into account the favorable conditions of the market at present, combined with the lowest inventory of houses for sale in the past few years, if you are thinking of selling your home, then there’s no better time for it. Once you are ready to make a move, there’s nothing else to do but go ahead and do it.
If you have thought about selling your home, this may be the perfect time! Call our office at (518) 494-4600 to get your home search started today!
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