Home buying intentions are the strongest they have been in 20 years. 75% of sellers feel now is the ideal time to sell a home. That’s quite a powerful dynamic! Toss in a very low inventory of homes and escalated prices and one can understand why our current real estate market here in RI and elsewhere is one of very high velocity!
Let’s dive deeper into why it is still a GREAT time to list your home for sale.
If you’re trying to decide whether or not to sell your house, this is the time to think seriously about making a move. Fannie Mae’s recent Home Purchase Sentiment Index (HPSI) reveals the number of respondents who say it’s a good time to sell is higher now than it was over the past few summers (see graph below). Today, the majority of consumers, 75 percent, say it’s a good time to sell a house.
Why is sellers sentiment up year-over-year?
The higher good time to sell sentiment has to do with today’s market conditions, specifically low housing supply and high buyer demand. In the simplest terms, we don’t have enough houses available for sale to meet buyer demand.
According to the latest data from the National Association of Realtors (NAR), we’re still firmly in a sellers’ market because housing supply is well below a balanced norm (shown in the graph below). Clearly, the scales are tipped in a seller’s favor today. But while housing supply is undeniably low, the right side of the graph shows how the inventory situation is improving little by little each month as more sellers list their homes for sale. I am seeing an uptick in listings daily across all of RI and the parts of Southern Ma in which I serve.
As a seller, that means each month, buyers have more options to pick from. By extension, that means your house may get less buyer attention with time. Danielle Hale, Chief Economist for realtor.com, explains it like this:
“More homeowners continue to list homes for sale compared to a year ago… Notably, while new listings continue to lag behind a more ‘normal’ 2019 pace, the gap is shrinking. Even though homes continue to sell quickly thanks to high demand and limited supply, new listings are subtly shifting the balance of market conditions in favor of buyers.”
So, what’s that mean for you?
If you’ve been waiting for the perfect time to sell, there may not be a better chance than right now. Inventory is gradually increasing each month, so selling sooner rather than later will help you maximize your home’s potential.
If you’re planning to sell your house, 2021 is still the year to do it. The unique mix of low supply and high demand won’t last forever. The demand for housing here in RI is still at an all-time high. Since the onset of the pandemic we have been seeing an incredible amount of buyer traffic from Boston, Southeastern MA , CT and NY. Add in all the “lateral” moves many Rhode Islanders are doing within state due to changing lifestyle needs, remote work scenarios and/or the need for a stronger school system etc and that equates to a lot of buyer traffic! All of that buyer demand has put a real strain on our meager supply which results in escalated sales prices for our RI sellers!
Let’s connect to discuss what you need to do now to sell your house and take advantage of this sellers’ market.