There’s no disputing that the property market is through a transition this season, which may leave you wondering if it’s still worthwhile to sell your home. Here are the answers to three of the most important questions you may have, so you can make an informed decision.
1. Should I Wait To Sell?
Even if the number of properties for sale has grown in 2022, the overall inventory remains low. This indicates that it is still a seller’s market. The graph below provides context for the inventory expansion. Using statistics from the National Association of Realtors (NAR), the author illustrates how distant we are from a buyers’ market:
Despite the fact that buyers have recovered some negotiating power as inventory levels have increased, you still have time to sell. Your home might still stand out despite the limited inventory, particularly if you list now while most sellers wait until after the Christmas season and the new year.
2. Are Buyers Still Out There?
If you are considering selling your home but are concerned because you fear buyer demand has evaporated due to rising mortgage rates, you should realize that this is not the case for everyone. Despite a decrease in demand this year, millennials continue to seek housing. As explained in a Forbes article:
“At about 80 million strong, millennials currently make up the largest share of homebuyers (43%) in the U.S., according to a recent National Association of Realtors (NAR) report. Simply due to their numbers and eagerness to become homeowners, this cohort is quite literally shaping the next frontier of the homebuying process. Once known as the ‘rent generation,’ millennials have proven to be savvy buyers who are quite nimble in their quest to own real estate. In fact, I don’t think it’s a stretch to say they are the key to the overall health and stability of the current housing industry.”
Although the millennial generation has been labeled the renter generation, this moniker may no longer be applicable. Millennials, the largest generation, are in fact a significant demand driver in the current housing market. There are still people looking for a property to purchase today, if you’re wondering if there are still buyers out there. And your home may be precisely what they are seeking.
3. Can I Afford To Buy My Next Home?
If current market conditions have you concerned about how you’ll finance your next move, you may have more equity in your present house than you know. Homeowners have amassed substantial equity over the previous several years, and this equity may make a substantial difference in the affordability equation, especially given that mortgage rates are currently higher than they were a year ago. According to First American Chief Economist Mark Fleming:
“. . . homeowners, in aggregate, have historically high levels of home equity. For some of those equity-rich homeowners, that means moving and taking on a higher mortgage rate isn’t a huge deal—especially if they are moving to a more affordable city.”
If you’re thinking about selling your house this season, let’s connect so you have the expert insights you need to make the best possible move today.