There are considerably more purchasers shopping for homes than sellers offering their homes in today’s property market. This indicates that property prices will most likely grow (at least for now), based on the supply and demand concept. What is the reason for this? When there are more people attempting to purchase something than there are those willing to sell it, prices rise. That is exactly what is happening in today’s housing market. For today’s buyers and sellers, knowing what’s going on with the availability of homes for sale and the demand for housing is critical.
Demand is high and supply is quite low across the country
Buyer traffic outnumbers seller traffic today, according to the latest buyer and seller activity data from the National Association of Realtors, as shown in the maps below. On the left, there are significantly deeper blues (strong buyer activity) and much lighter blues (poor seller activity). To put it another way, the demand for homes is far more than what is available for purchase.
If you’re a seller, what does this mean?
The supply chain is straining to keep up with the demand. Indeed, the number of available properties for sale just reached an all-time low. This gives you a huge advantage when it comes to selling your home. Because there are so few listings, it’s probable that more people will see your home – especially if you collaborate with an agent to price it correctly. That means there’s a good chance you’ll get at least a couple bids. Or your home maybe be the subject of a bidding battle, which has the potential to increase the sale price of your home.
If you’re a buyer, what does this mean?
You’ll face increased competition as a buyer with fewer options, so you’ll need to be strategic to win. First and foremost, ensure that you are working with a reputable specialist. Your real estate agent will assist you in gaining a better understanding of the local market. And will work with you to act promptly when the time comes. Even though finding a property is difficult, you can succeed as a buyer today if you have a trusted advisor at your side every step of the journey.