Inventory is still low, and demand is still high in our market.

The real estate market remains hot for sellers as we approach the middle of summer—24% of home sellers are expected to get more than their asking prices. There are several reasons why prices continue to rise, but how much longer will this trend last?

Pending sales have risen by 8% from April to May. Economists had previously projected a 1% decrease. Experts predict that more homes will be listed in the second half of 2021. More inventory should help quell the rapid surge in home prices, but even so, the market could continue at its breakneck pace.

More homes were listed in June but prices still hit an all-time high. We saw an influx of inventory over the past month. New listings increased by 10.9% in June, a 5.5% increase since the start of 2021. Even though this jump is significant, the overall number of homes for sale is still down 43.1% year over year. Since we have fewer homes for sale compared to last year, prices have gone up. The national median list price is up 12.7% over the past year and now sits at $385,000.

“As long as demand remains high and inventory stays relatively low, homeowners are in a great position to sell quickly.”

Encouraged by vaccines, a stronger economy, and low mortgage rates, there will be more homeowners deciding to put their homes on the market. This means buyers will have more choices at more affordable prices.

Sellers need a moving plan. While a home is going to sell pretty quickly in today’s market, we’re going to need a plan for buying. Some sellers are negotiating rent-back agreements with buyers, while others are finding temporary housing or moving in with relatives during the buying process. Every situation is different but just know that you do have options.

What does all of this mean for you? As long as demand remains high and inventory stays relatively low, homeowners are in a great position to sell quickly. If you have any questions about potentially selling your home or trading up to a new property, feel free to give me a call anytime. I can help you make the right decision for whatever you decide to do. We appreciate your friendship, referrals, and for trusting us with your real estate needs. Without your support, we wouldn’t be where we are today.