Inventory of Homes May be Increasing
In a recent survey by Pulsenomics, 100+ economists and real estate experts were asked “In your opinion, what is the primary driver of recent home value growth in the U.S.?”
The top 4 reasons given were:
- 50% low inventory
- 20% low mortgage rates
- 17% wage and job growth
- 4% high demand
The lack of supply in most housing markets has caused home appreciation to increase at greater percentages than historical averages. What this means to sellers is that it’s a great time to sell your house!
The times may be a-changin’ though, and inventory may see an increase!
Here are 3 reasons why:
- As sellers see their equity situation rise, they may decide to put their homes on the market.
- Real estate is out-performing a sluggish economy and builders will be adding new construction inventory to the low supply of homes
- Some banks are just now foreclosing on loans which have been delinquent since the housing bust so these homes will be coming on the market.
The lesson of this story is don’t wait! If you are thinking of selling your home, now may be the perfect time!
Adapted from KCM Crew report 5/29/2016