Thinking of Selling? Why You Should Act Now
If you've thought about selling your house this year, now more than ever may be the time to do it! The inventory of homes for sale is well below historic norms, both nationally and locally, and buyer demand is skyrocketing.
Prices in most areas are higher than at the previous peak reached in summer 2007, and homes are selling quickly. In Long Beach, for example, the median time on the market in June 2017 was just 11 days!
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.
Lawrence Yun, Chief Economist at the National Association of Realtors, recently commented: "Buyer interest is solid, but there is just not enough supply to satisfy demand. Prospective buyers are being sidelined by both limited choices and home prices that are climbing too fast.”
Yun went on to say, " Current demand levels indicate sales should be stronger, but it’s clear some would-be buyers are having to delay or postpone their home search because low supply is leading to worsening affordability conditions.”
In this type of market, a seller 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.
The bottom line is that as a potential seller, you are in the driver’s seat right now. It might be time to hit the gas. Why wait until inventory is higher and you lose some of your current advantage?