Take Advantage of Spring now
The ground hasn’t thawed and people are bundled up with warm winter coats, gloves and scarves. Spring may seem far off, but many consumers this time of year are seriously starting to consider whether to make a move during what traditionally shapes up to be the busiest season in residential real estate.
If you are one of those consumers who is still having a challenging time determining whether now is the appropriate time to sell or purchase a new home, consider a few facts: Home sales last year rose to the highest level since 2006, according to the National Association of REALTORS®' latest housing report. Job growth, record low mortgage interest rates and pent-up demand were key factors driving the housing market, according to NAR Chief Economist Lawrence Yun.
Economists are predicting continued job growth in 2014, which will further fuel consumer confidence and push more consumers to make a move. In fact, unemployment is on the decline, with the national unemployment rate falling to 6.7 percent in December, its lowest point since November 2008, according to the U.S. Bureau of Labor Statistics.
Another factor to weigh is rising home prices. Home prices have been steadily climbing in many parts of the country, due to buyer demand and a shortage of inventory. The decline in homes for sale has been dramatic in some parts of the country, which makes the real estate market more favorable for home sellers. For buyers, the competition for a home can become fierce when there is constrained inventory, so being properly prepared to make a quick decision is critical.
Nationally, the number of existing properties for sale fell 9.3 percent to 1.86 million in December compared to the prior month. At the current pace, it would take only 4.6 months to sell those listings. A market is considered balanced between homebuyers and sellers when it takes six months to sell all the homes on the market at the current sales pace. The timing couldn’t be more advantageous for many sellers.
To find out what is happening with regard to home sales and prices in your local community, make sure to review the attached market data. However, the best way to determine whether now is the best time for you to sell or purchase a home is to consult a real estate professional affiliated with Coldwell Banker Residential Brokerage.
A Coldwell Banker Residential Brokerage professional will be able to review current market conditions and provide a competitive market analysis. Your sales professional will also be able to provide a list of properties that are currently on the market and guide you in setting the appropriate pricing for your home. If you are searching for a home, a knowledgeable sales professional will help you find the home that will best meet your needs and budget.
You may be tempted to wait for warmer weather to arrive, but a more prudent decision may be to act now. Spring will be here before you know it and you could find yourself behind the pack.