Q: What Makes Now a Great Time to Sell?
What a crazy summer we’ve had so far! Between the coronavirus, a wobbly economy, and all of the layoffs, it’s no surprise many who hoped to sell their homes this season have either put their plans on hold or threw in the towel altogether.
Such hesitancy is understandable, but after looking closely at the numbers, many experts actually suggest there’s never been a better time to be a home seller. So, if you put your 2020 home selling plans on hold, here are the five reasons why you should reconsider listing:
1. Homebuyers are back with a vengeance. In fact, it looks like they’re out to make up for lost time. From March 15 to August 1, 1,221 fewer listings hit the market compared to last year. During that same time, however, 633 more houses went pending. If you do the math, that’s a 1,854-home swing!
2. Inventory is extremely low. We already touched on this point above, but in Central Kentucky, inventory is the lowest it’s been in seven years. It only makes sense to list while buyers’ options are limited.
3. Home prices are up. It’s basic supply and demand: Supply is low right now, so demand is high and prices are following suit.
4. Mortgage rates are historically low. Fannie May reported back in July that the average interest rate was 3.07% for a 30-year fixed mortgage. This means more buyers are in the market to snag a rate that will save them tens of thousands of dollars over 30 years.
5. Homebuyers’ needs have changed. A few months ago, we were all driving to the office for work, but now a lot of people work from home. Anyone who’s currently using a corner of their dining room table as a makeshift office may be in the market for a new home with an extra room that can be converted into a proper working environment. Or, if they’re like me and have young kids, they may just need a home with more indoor and outdoor space in general.
The bottom line is this: We know where the market is right now, but we don’t know where it will be a year from now. The time it takes to sell a home seems to be shrinking as restrictions ease, but as infection rates rise, conditions can become uncertain.
If you’d like to learn about our home selling process or have questions about the market, don’t hesitate to reach out to us. We’re here to help.