Nearly a decade after the Great Recession, it looks like the fallout is officially a thing of the past. Homes across the country are flying off the market at record prices, and one thing couldn’t be any clearer: we are in a seller’s market. For a homeowner, there may never be a better time to sell your home. However, this window of opportunity may soon be a thing of the past, too. Here’s why you should take advantage of this opportunity now:
Rates remain historically low
While rates are not the lowest we have seen, they are low by historical standards. The 30-year mortgage rates – hovering right around four percent – are drawing buyers into the market. But, it looks as if the rates may reach five percent before year’s end. Buyers serious about purchasing a home won’t wait long as they know that will just make it more expensive.
Inventory is low and demand is high
As inventory remains tight, expected to reach a four percent year-over-year decline by March (realtor.com), buyers, with limited choices, have to go to great lengths to become the new homeowner. As a seller, this is your chance to score a great price for your home. You may see a bidding war push up the price of your home or an offer with pro-seller terms.
Home prices are still rising
While home prices are still expected to increase in 2018, it looks as if they will rise at a slower pace. According to realtor.com, data suggests they are going to increase 3.2 percent year-over-year, down from the 5.5 percent increase throughout 2017.
People have more money in their pocket
Great economic conditions – low unemployment, record numbers in the stock market, the doubled standard deduction as a result of the new GOP tax legislation, growing incomes, better and more stable jobs and more – make 2018 a promising year for buyer turnout.
Millennials are ready to jump in
Now that the stars are aligning (aforementioned great economic conditions), it looks like Millennials, previously crippled by student debt and rising home prices, are ready to jump into homeownership. Experts predict the Millennial generation will account for 43 percent of home buyers taking out a mortgage in 2018 (realtor.com) – a three percent increase from the previous year.
If you decide to sell your home in early 2018, please give us a call! We would be happy to help in any way we can.