Sell Smart: Low Inventory Advantage
Curious whether the current moment is opportune for selling your house? In short, the answer is a resounding yes, particularly when you take into account the scarcity of available homes on the market today.
While you might be aware that housing inventory is currently limited, you might not fully grasp the extent of this shortage or the advantageous implications it holds for your potential home sale. A visual aid, such as the graph provided by Calculated Risk, offers a clearer perspective:
The graph illustrates a marginal increase in housing inventory week after week (depicted by the blue bar), yet the overall supply remains notably constrained (as depicted by the red bars). In comparison to the same period last year, the supply has declined by roughly 10% – a noteworthy decrease from an already low point. Delving further into historical data, it becomes evident that the inventory reduction is even more pronounced.
To gauge the extent of deviation from normalcy in today's housing inventory, let's juxtapose the present situation with that of 2019 – a reference point for a typical market year. When comparing the same week this year to the corresponding period in 2019, the available supply is approximately 50% lower. Consequently, the number of homes up for sale is only half of what would be customary.
The main takeaway? We are far from reaching what is considered a balanced market. The demand for homes remains robust, primarily due to the scarcity of available options. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), elaborates on this point:
"The existing housing supply is insufficient. The market could easily absorb a doubling of available homes."
Thus, if you are contemplating listing your house, it's important to recognize that the current inventory is merely a fraction of what would be expected in a more typical year. This implies that your property would stand out prominently if you were to sell now, potentially resulting in multiple offers and a swift sale.
With the volume of homes for sale hovering around half of the norm for a regular year, you can be confident that there is a robust demand for your property. If you are inclined to sell, it's advisable to connect with a local real estate agent promptly. This strategic move will allow your house to shine brightly amidst the limited inventory, maximizing its appeal to prospective buyers.