So many people have questions about the real estate market in general right now, but more specifically about the spring market. Historically, this has been a very busy time for both buyers and sellers.
One thing remains the same: demand continues to outpace inventory.
But in the wake of Covid, and with so many other things happening in the world right now, there is just a lot of unknown for buyers and sellers. So here are some things to keep in mind for the spring market.
Inventory
Questions abound regarding housing inventory, and many interested buyers are curious as to whether or not inventory will increase this spring. While the short answer is yes, the long answer reveals that demand is just way too high to keep up with homes hitting the market. This means that if you see something you love, don’t wait! It likely won’t be on the market for long.
Pricing
High (and rising) prices continue to be obstacles for interested home shoppers. Of course, nobody wants to buy at the top of the market, but with so many interested buyers on the prowl, it’s not surprising that housing prices are higher than ever before. In fact, experts are predicting that we could see another year of above-average housing prices in the U.S.
Inflation
Interest rates have risen in recent weeks, which has driven up borrowing costs for buyers. Of course, all-cash buyers won’t have to contend with this issue. But even if you’re a buyer who intends on taking out a mortgage, purchasing a home can be a great way to hedge your investment against inflation. What does this mean? Lock in your mortgage rate as soon as you can. It’s almost a given that home price appreciation will outpace inflation.
Education
Working with a local real estate agent who knows the market well is the best way to educate yourself about current market conditions. What’s more, those with a healthy list of clients tend to know about pocket listings or potential listings coming to market, and they can help put you in a better position to make an offer when you’re ready. So ask all of the questions that you have! That’s what your real estate agent is for, and they are the foremost expert about current market conditions.
I’m a local real estate professional with decades of experience in the Pasadena area. I am available to assist you in buying or selling a home, so please contact me if you would like to schedule a time to discuss your needs. Take care!