Desperation caused by lack of inventory – fueling buying frenzy
Erin Harold Newsletter | January 21, 2016
If ever there was a right time to sell your home,
IT IS NOW.
This is one of the strongest seller’s markets in our history in this greater Seattle metropolitan and its surrounding areas. Experts abound, and all are in agreement, that this shortage of inventory is the worst they have seen in decades.
How does that translate to you as a homeowner?
Buyers are lining up out the door to buy your home. Your home is desired. It is needed. It is valuable. If you have even been toying with the idea of a change of residence, whether it be to downsize, to relocate, to up-size or you simply have a desire for a change of scenery, now is the time to make the move. You will not believe just how valuable that home of yours really is. Whether your home is fixed up or not. Here are the facts:
– Homes are selling in days, some are selling in hours.
– 38% of all homes sold in 2015 were bought with cash.
– People who sold their home in King County in October reaped an average 48 percent gain over their original purchase price.
We have not even seen the typical mid-winter slowdown, of our typical market , this year at all. In fact, the market has become ravenous with even more buyers looking, and no inventory available to buy. Leading into the spring and summer, this will create a literal war-zone for potential buyers, fighting for the winning bid on your home and willing to spend above top dollar in order to reign supreme. That means: Money, in excess, for you as a seller.
Here are a few quick and relevant details I pulled from one of the two attached articles, both detailing this amazing market event:
Seattle and King County had 1.3 and two months’ worth of homes for sale, at the current sales pace, in January. That’s down from 1.6 months and 2.4 months a year ago. While the supply is up slightly from December, seasonal variation complicates month-to-month comparisons. Four to six months is generally considered balanced between buyers and sellers.
“We just really are a fast growing city without enough inventory on the market,” said Alon Bassok, a research scientist at the Runstad Center for Real Estate Research at the University of Washington. “Limited inventory, in this case, means to me that we’re going to see prices go up even further.”
In addition to the lack of homes currently for sale, the rental market is also tight and construction of new homes isn’t keeping pace with demand, Bassok said. “So there’s pressure on all sides.”
In a listing service news release, George Moorhead, designated broker and owner at Bentley Properties, said: “The current inventory of homes available for sale has never been lower in my 22 years as a real estate broker.”
Supply of houses for sale in Seattle remains tight
By AUBREY COHEN, SEATTLEPI.COM STAFF, Updated 4:16 pm, Thursday, February 5, 2015
Give me a call and I will provide you with a current market analysis of your home. I can help guide you down the path that will lead to the best possible result on the sale of your home.