If you're thinking of purchasing a home, you're probably weighing your desire to move to a new home against current mortgage rates, house prices, work schedule, and other factors in order to determine whether you want to enter the market.
If this describes your current situation, there is one important detail that might influence your choice: as of right now, there are currently more properties for sale than there were at this time last year. According to Calculated Risk for the week ending November 18, there were 47.7% more properties for sale than there were at the same point in time in 2021. Furthermore, having additional options may be just what you need to feel comfortable moving forward with your house hunt.
Let's take a look at where the increased housing supply is coming from.
What led to this year's increase in housing inventory?
The rise in home supply we've seen this year isn't coming from where you might think it is. The primary reason for the supply increase is that homes for sale are remaining on the market a little bit longer, as opposed to an influx of homeowners listing their homes for sale (new listings). Slower sales growth has been caused by the peak buyer demand being moderated by higher mortgage rates and home prices. And as sales have slowed down, inventory has grown.
What This Means for Your Home Search
Whatever the cause, purchasers will benefit from the increase in the number of housing options. There are more homes for sale, giving you more alternatives and possibly more time to think about them while you look for your next residence.
This may be the good news you've been waiting for if you tried to buy a house last year but lost out in a bidding war or just couldn't find something you liked. These extra options should make it simpler for you to find a home you love if you start looking today, especially as some other buyers put their searches on hold during the holiday season. Just keep in mind that the overall housing supply is still low, so it won't become suddenly easy to find your perfect home; it will just be less difficult than it was at this time last year. According to a recent article: “Despite this improvement in the number of homes actively for sale, active listings still lag their pre-pandemic levels.”
You'll be in a wonderful position to start the new year in your ideal house thanks to this boost in the housing supply. And who better to assist you in finding it than a reliable, knowledgeable, experienced, local real estate expert?
Connect with Laura Larson right away if you're prepared to enter the housing market and discover what's available in your neighborhood.