What the Record Low Housing Inventory Means for You

We’re sure that by now you’re keenly aware that the number of homes available for sale on Cape Cod is at a record low.

But, it’s not just here. It’s a national phenomenon. In fact, inventory has been steadily dropping across the country as buyers — inspired at least in part by the virus crisis — have decided that the time to make their move is now.

As buyers snapped up homes and condos in 2020, often for over asking price and without home inspections, a sufficient number of properties did not come on line to meet continuing demand.

Right now on Cape, there are around 500 homes available for purchase. Typically, there’s three times that amount!

So what does this mean?

Thinking of buying?

If you’re a buyer, remember low inventory doesn’t mean no inventory. Be patient during your search, as It may take time to find a home you love. Once you do, be ready to move forward quickly. Get pre-approved for a mortgage; be prepared to make a competitive offer from the start, and know that a shortage in inventory could mean you’ll enter a bidding war. Calculate just how far you’re willing to go to secure a home.

Thinking of selling?

In some ways, you’re in the driver’s seat. When there’s a shortage of anything at the same time there’s a strong demand for it, the seller is in a good position to negotiate the best possible terms. Whether it’s price, moving date, possible repairs, or anything else, you’ll be able to request more from a potential purchaser at a time like this – especially if you have multiple offers. But, don’t be unreasonable or seen as greedy. Interested buyers will walk away.

Is the current economic and/or health situation keeping you on the sidelines? Please check out the latest edition of Hank’s video series “Let’s Meet for Coffee,” where he responds to some of those concerns. You can also review some of our recent posts that delve into this subject.

Any questions? Let’s connect at 508-568-8191 or msennott@todayrealestate.com. We’ll be happy to help you review your options. This is not the time to go it alone, or simply take the advice of a relative or good friend who “knows a little something” about the housing market.

Demand will remain strong throughout 2021. It’s important that you know what that means for you, whether you’re buying, selling, or doing both.

Don’t wish for it; go for it!

Mari and Hank

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