November Real Estate News
With the holidays upon us, many homeowners who would like to sell prefer to wait until the spring, when the weather is warmer and when they believe more buyers are out looking. But, right now is the opportunity to sell. According to the National Association of Realtors’ Home Survey, in the 3rd quarter of 2018, 77% of people believe now is a good time to sell their home. This is over 10 percentage points from quarter 3 in 2016!
The #1 reason NOT to wait until the spring: The supply of houses increases substantially, including new construction, which could potentially lower the demand for your home. When there are less houses for sale and buyers are out on the market, there are many homes that receive offers over full asking price. You always want to sell when the demand is high and the supply is low. That is when you will get the best price and the least amount of hassle.
Waiting until the spring could be a financial mistake and the graph above shows why. There are a lot less homes for sale in December, January and February then there are in April, May and June. If you were to wait until the Spring Buyer’s Market to put your house on the market, there will be many more homes available during that time, which means a lot more competition.
In the graph above, if we look at this time last year, we can see that the sweet spot for selling was from November through March. The percentage of listings to buyers is low which is exactly the kind of market you want to be in if you are a seller.
One more reason selling now instead of waiting until the spring is because 70% of sellers are going to be buying another property. Interest rates are steadily rising and the longer potential homebuyers wait, the more interest rates will increase. By selling your home now and purchasing your next home, you will be saving that increase in interest rates.
Summary: If you are thinking of selling your home, now is the time! Buyer to inventory ratio is low this time of year, and that is exactly the kind of market you want as a potential seller. It opens the door to higher offers with the least amount of hassle. As a potential buyer, interest rates are on the rise and purchasing now could be saving you money on your new home loan.