Homes Are Flying Off The Market In 2021
If you’ve looked at homes recently or know someone who has, you’ve likely heard how fast homes are selling. In some areas, it’s not unusual for a home to sell within hours of being listed. But is that the case everywhere and will it continue?
Why are houses selling so fast?
First, everyone wants to know – why are houses selling so fast, and are we headed for a housing crash again?
Experts believe we are NOT headed for a crash.
Instead, the main reason houses are selling so fast is there’s a much higher demand than there is inventory of homes available.
The pandemic changed the way most people think. Previously, people stayed where they were out of obligation to their job or family. The pandemic showed most people that life is too short and most things can be done remotely, which means you could live anywhere you want.
Once the official lockdown lifted, it was ‘game on’ with millions of people moving to new areas. With fewer homes for sale than buyers needed, the competition heated up and homes sold faster than anyone ever thought possible.
Will houses keep selling this fast?
Eventually, the ‘bubble’ has to slow down, but most believe it won’t go away completely and here’s why.
There are still plenty of people who want to move but who haven’t found the right place or refuse to pay higher prices right now. With higher demand comes higher prices, but as the market settles, prices may fall ‘slightly’, but nothing major. The people who previously couldn’t find a home will try again, bringing the demand back up.
Another factor to consider is mortgage rates. Today they are the lowest we’ve seen in decades. That can’t continue forever, but experts say it will be at least for another year or two. When rates go back up, it will push more buyers out of the market, which will bring home prices down again with the lower demand. The demand won’t go away, but it may lessen slightly.
How to buy a home in a seller’s market?
If you’re in the market for a home but find it impossible with the high demand, there are a few things you should do:
Know your budget, get pre-approved by a reputable lender and know what you can afford. Having this number in mind makes bidding on homes a lot less scary because you know when to stop.
Work with an experienced and quality real estate agent. You need someone with an ear to the ground who can alert you of new listings fast.
Know what you want. Have a list of ‘must haves’ and ‘wants’ when you look at homes. You’ll need to make decisions faster today than ever before.
It may seem harder to buy a home today, but with the right help, it can happen! If you’re thinking about moving, contact me today and let me show you how I can help you find the best home at the right price.