Let’s talk a little bit about timing and competition regarding real estate today.
Head’s up! Today’s post is a little different: we’re looking at the real estate market through a more national lens, rather than a solely Seattle area lens. Let’s get started!
Did you know?
The number of building permits issued for single-family homes is the best indicator of how many newly built homes will rise over the next few months.
According to the latest U.S. Census Bureau and U.S. Department of Housing & Urban Development Residential Sales Report, the number of these permits were up 7.7% over last year.
How will this impact buyers?
More inventory means more options. Danielle Hale, Realtor.coms Chief Economist, explained this is good news for the housing market especially for those looking to buy:
Its not spectacular construction growth, but its slow and steady in the right direction. Eventually, the pickup in single-family home construction will mean [buyers] will have more options. Especially with the limited number of sales right now, more options are really needed.
How will this impact sellers?
More inventory means more competition. Today, because of the tremendous lack of inventory, a seller can expect:
- A great price on their home as buyers outbid each other for it
- A quick sale as buyers have so little to choose from
- Fewer hassles as buyers dont want to rock the boat on the deal
With an increase in competition, the seller may not enjoy these same benefits. As Hale said:
As new construction continues to increase, home shoppers will eventually have more [choices] and a bit more time to make purchase decisions compared to todays quick-moving housing market.
If you are considering the sale of your home, it might make sense to beat this new construction competition to the market.
Here in Seattle, where the market’s been white hot for awhile, you’ll want to talk with a Metropolist broker about your property specifically, and how this data applies to the Seattle market.
Definitely download the Metropolist Magazine for more details, data and stories from the first 6 months of 2017!
This 12-page magazine is full of specifics about the state of the Seattle real estate market.
BTW, this is another great resource to review with your broker.