Why You Should List Your Home Now
Current housing market presents unique opportunity for sellers
Alexandria, VA - Sure, spring and fall are typical seasons to list your property if you want the most foot traffic. But, we’re experiencing an interesting real estate market, where inventory is low and buyers are chomping at the bit to purchase a home.
A common misconception is that the housing market becomes as sluggish as the humidity in July. While that may have been true in past, it’s not the case this year. On average, just listed properties are flying off the shelves in less a month. NAR, dubbed as “ The Voice for Real Estate,” and most formally the National Association of REALTORS®, reports properties were typically on the market for 27 days in May, down from 29 days in April; five days less than a year ago when 32 days was the average length. NAR reports this is the least amount of time properties have sat on the market since they began collecting data in 2011.
As expected from the spring market, total existing-home sales rose 1.1 percent in May. This represents an increase in completed transactions including single-family homes, townhomes, condominiums and co-ops. The pace of sales is the third highest of the past year, and 2.7 percent higher than this time last year.
A healthy job market in most of the country and a recent mortgage rate dip helped many buyers close on their home sale. Freddie Mac, a critical organization affecting the nation’s housing finance system by providing liquidity, stability and affordability to the mortgage market, reports the average conventional fixed-rate mortgage decreased for the second month in a row, from 4.05 in April to 4.01 in May.
It should come as no surprise, given the recent relative market trends, that median home sale prices for all housing types is at an all time high - on the rise for over 60 consecutive months. The national average sale price in May was $252,800, up nearly 6 percent from 2016. In Alexandria, the median home sales price is just shy of $500,000.
Although inventory rose in the latter part of May to 2.1 percent, totaling 1.96 million existing homes available for sale, it is still 8.4 percent lower than this time in 2016 - falling year-over-year for 24 months.
What does this mean for potential sellers? Take heed and list now. NAR Chief Economist, Lawerence Yun, says, “…several markets this summer will continue to see homes going under contract at this remarkably fast pace of under a month.” More buyers, backed by relatively low interest rates and cornered with little inventory, are willing to step out on a ledge to compete for their dream home. Consumer confidence is at nearly 95% and their home buying power over 1.5 times the necessary income to purchase.
Consumers want options. Put your home on the market today as another choice for potential home buyers.