There’s no denying that the housing market is undergoing a shift as buyer demand slows and the number of homes for sale grows.
On Cape Cod, there were 231 homes for sale in January. In August, there were 563. This is nowhere near what we consider to be a normal market. But, what it does represent is a slow tick upward in the number of homes available.
So, here’s a look at the key opportunities you have if you list your house this fall.
Opportunity #1: Where Can You Go?
We often hear from those who are thinking about selling that their biggest concern is that they don’t know where they can go. But, one of the biggest stories today is the growing supply of homes for sale primarily because higher mortgage rates helped cool off the peak frenzy of buyer demand. But what you may not realize is, this actually can benefit you as a seller
If you’re marketing your house to make a move, it means you’ll have more options for your own home search. This gives you an even better chance to find a home that checks all of your boxes. So, if you’ve put off selling because you were worried about being able to find somewhere to go, know your options have improved.
Opportunity #2: The Number of Homes on the Market Is Still Low
Just remember, while data shows the number of homes for sale has increased this year, housing supply is still firmly in sellers’ market territory. To be in a balanced market where there are enough homes available to meet the pace of buyer demand, there needs to be a six months’ supply of homes nationally. According to the latest report from the Cape and Island Association of Realtors there’s a 1.9 month supply here.
While you’ll have more options for your own home search, inventory is still low, and that means your home will still be in demand if you price it right. On Cape, the Cumulative Days on Market Before Sale is 29 (YTD), still quick by traditional standards, but not the gone-in-a-weekend pace of even just a few months ago.
Opportunity #3: Your Equity Has Grown by Record Amounts
Danielle Hale, Chief Economist at realtor.com, explains: “Homeowners trying to decide if now is the time to market their homes are still in a good position in many places across the country as a decade of rising home prices gives them a substantial equity cushion…”
While there are no statistics available on individual equity, we can report based on our own personal experience and that of our sellers that this is true.
So, if you’ve been holding off on selling because you’re worried about how rising prices will impact your search, rest assured your equity can help. It may be just what you need to cover a large portion (if not all) of the down payment on your next home.
That’s what we did a few months ago. We used the equity in our home as down payment for our new one. So, we were able to secure where we were going before the For Sale sign ever went up in our yard.
There’s often never a “good time” to market a home: an unexpected job transfer, the loss of a loved one, or a family break up can make the decision hard and the process difficult. But sellers manage to get through it with the help of a knowledgeable professional.
If, however, the market is presenting you with an opportunity to benefit from your long-term real estate investment and make the change that you’ve been contemplating for years, why not move forward?
Let’s connect at 508-360-5664 or firstname.lastname@example.org to talk about your possibilities. We’re happy to help.
Mari and Hank