The inventory of homes for sale in the area is low, which is possibly turning the housing market into one that favors home sellers.
According to the National Association of Realtors, comparing the number of homes available for sale in April 2013 to one year ago, we see that inventories in April are nearly 14 percent lower than one year ago. While inventory has continued to decline, sales have been increasing robustly. The year over year change in existing home sales has seen double-digit or near-double-digit gains for 10 consecutive months.
This is positive for sellers. We are seeing an increase in multiple offers and quicker sales. I put two properties on the market in Raymond and they were both under contract within a week. While they are not bringing the prices we saw during the housing boom, they are at least selling. These two particular properties were on the market for the past two years, yet when I re-listed them this spring there was quite a bit of interest. One pair of buyers who contacted me couldn’t believe their dumb luck. They wanted to make an offer on Wednesday after they saw the property on a Sunday and it was already under contract.
There are buyers actively looking and they are finding it hard to locate a property, so if you are considering putting your home on the market now is a good time. While prices are rising and the inventory is low, it’s still important to price your home correctly. A reputable real estate agent can help you by doing a Comparative Market Analysis. This is done by comparing sales in your area to homes that are similar to yours. We compare the lot size, square footage, number of bedrooms, the existence of a garage etc., and then we adjust accordingly to arrive at an accurate price.
If you do price your home correctly you may see a quick sale or possibly multiple offers. I saw a piece on the Today Show that homes in other parts of the country are bringing sales way above the asking price. While I don’t have a crystal ball I do see real estate becoming a good investment again.
Another indicator that the market is making a rebound is when the people who flip houses for a profit are coming back into real estate. If you drive around the area you can see some properties that have been neglected over the past few years being bought and rebuilt or improved. This is a good sign of confidence in the housing market.
We see a more robust real estate market in this area during the spring and summer so this also makes it a good time to consider listing your home. Even if you have tried to sell in the past few years you may want to prepare to list this spring.
Carrie Colby is the Broker/Owner is Premier Properties in Raymond she can be reached columnist@TheWindhamEagle.com.