The Perks of Selling Your House When Inventory Is Low
Selling your house can be a complex endeavor, as you navigate market conditions and your own unique circumstances to plan your next move. However, one favorable factor in your favor is the current scarcity of available homes for sale. Let's delve into the implications of the existing inventory situation and how it can benefit you.
A Drastic Shortage of Homes for Sale
When you're selling a product, it's advantageous if the item is both in high demand and scarce, making it even more desirable due to its limited availability. This is precisely the scenario unfolding in today's real estate market. The number of potential buyers is surpassing the available homes for sale.
To illustrate just how sparse the inventory is, consider the latest data on active listings, which represents homes currently on the market for sale. The graph below, utilizing Realtor.com data, demonstrates the contrast between active listings in September of the current year and what's typically seen in the market.
The graph reveals that when comparing the active listings in this year (indicated by red bars) to the last normal years in the market (shown by blue bars), the inventory remains significantly lower than the standard.
What This Means for You
Compared to more typical years, potential buyers have significantly fewer options today. This situation can bring several distinct advantages if you decide to sell your home now. Because there's a shortage of available homes, properties priced appropriately are selling swiftly, and sellers are frequently receiving multiple offers. According to the most recent data from the Confidence Index of the National Association of Realtors (NAR):
1. 69% of homes sold in less than a month.
2. An average of 2.6 offers on recently sold homes.
Realtor.com elaborates on how the limited supply benefits sellers:
"Over the past month, homes spent two weeks less on the market compared to the average September from 2017 to 2019, mainly due to the constrained supply, which compels homebuyers to act quickly."
With the current shortage of homes for sale, buyers are eager for more options, and your property may be precisely what they're seeking. Collaborating with a reputable local real estate agent to list your home at the right price for today's market can lead to a quick sale and the possibility of receiving multiple offers.