Is our low housing inventory going to slow down our market?
Right now in our local market, we’ve been in a positive recovery mode for quite some time.
Along with not seeing as many distressed sales, we’re also seeing an increase in prices and sales volume across most price ranges.
Since fewer distressed sales mean a lowered likelihood of short sales or foreclosures, things seem to be looking up.
However, our momentum may slow down due to low supply. These supply levels simply may not be able to keep pace with the buyer demand that could carry us through the summer.
National Association of Realtors Chief Economist Lawrence Yun has been saying that sellers are absolutely in the driver’s seat.
As a result of hot competition among buyers, we’re definitely seeing stronger offers coming out. Buyers are showing resilience, but inventory is simply too low.
As Freddie Mac has pointed out, tight inventory has been a feature of our market since 2016. In fact, right now for starter homes, inventory levels are the lowest they’ve been in the past 10 years.
Pro Teck CEO Tom O’Grady recently said, “The lack of inventory is real and it can have a severe impact on home sales in the following months.”
So, if you’re thinking of selling, now might be the best time. Despite the high competition among buyers, competition among sellers is very low.
But don’t give up if you’re a buyer. Keep your eyes open and be ready for the right opportunity.
If you have any other questions or want more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.