If you’re a homeowner and thinking of selling, then the cards are stacked in your favor right now. But as any dealer will tell you, it’s how you play your cards that’s important, not the hand you’re holding.
A range of economic factors is powering America’s real estate market– low interest rates, resurging economic confidence and pent-up buyer demand for housing stock that remains stubbornly thin.
Prices haven’t risen this quickly for almost 20 years, according to CoreLogic, an industry researcher.
Compared with the stock market’s gyrations in the past 18 months, real estate remains a solid investment. The National Association of Realtors says the average equity in a home is now $80,000 compared with $64,000 before Covid – a tidy gain to put against your next property.
If you’re interested in capitalizing on the current seller’s market, I’d be delighted to discuss the price trends and how we can market your home to get a great price.
In the meantime, here is a list of current buyer behaviours that might help you decide your next move.
- Most buyers have organized their finances and are highly competitive because there’s not enough property across all residential sectors – houses, condos and apartments – to meet the demand. Zillow says seller-accepted offers are down to 13 days from 31 days just a year ago.
- Millennials and Generation Z buyers with good jobs are entering the lower end of the market. Together with renters seeking to own a first home, they’re pushing prices higher across the board.
- Multi-generational homes are super-hot. If your home has a granny flat or can accommodate two or three generations, it can reach outstanding price levels in the right circumstances.
- Home offices are in big demand. Buyers looking to reinvent their lifestyle by working from home will pay a premium for this feature.
- Folks are embracing suburbia and country towns, sometimes leaving the city for fear of disease transmission. Buyers also want more space, such as an outdoor entertaining area and garden. Again, Covid and lockdowns are playing an influential role here.
- Re-location is becoming increasingly common as folks move closer to their families. The work-from-home movement makes this possible, and many want to be closer to loved ones even if there’s a remote possibility we might suffer another virus.