Selling a house can be a challenge in any market. Many sellers face the dilemma of balancing current market conditions with their own needs. Fortunately, low inventory in the housing market is one factor that may work in your favor when selling your house. In this blog post, we will explain the current inventory situation and what it means for you as a seller.
The current supply of homes for sale is far below the norm. Due to low interest rates and changing lifestyle needs during the pandemic, there are more buyers looking to buy than there are homes for sale. This makes homes that are listed for sale even more desirable since there’s not enough supply to go around.
According to data from Realtor.com, the number of active listings in September of this year was far lower than what’s typical in the market. The graph below shows the number of active listings for the last normal years for the market (shown in blue bars) compared to the latest numbers for this year (shown in red bar).
As you can see from the graph, the inventory is still far lower than the norm. This means that if you are selling your house, you will face much less competition from other sellers. With fewer houses on the market for buyers to choose from, your house may get more attention and higher offers.
Low inventory can also push up home prices. When there is high demand and low supply, buyers are willing to pay more to secure a home. This means that as a seller, you may be able to price your house higher without worrying about it staying on the market for too long.
Lastly, since there are fewer homes for sale, the time it takes for your house to sell may also be shorter. In a market with low inventory, houses tend to sell faster because buyers are eager to find available homes.
What That Means for You
Buyers have fewer choices now than they did in more typical years. And that’s why you could still see some great perks if you sell today. Because there aren’t enough homes to go around, homes that are priced right are still selling fast and the average seller is getting multiple offers from eager buyers. Based on the latest data from the Confidence Index from the National Association of Realtors (NAR):
- 69% of homes sold in less than a month.
- 2.6 offers: the average number of offers on recently sold homes.
Low inventory in the housing market can be an advantage for sellers. With fewer homes available for sale and high demand from buyers, sellers can expect less competition and potentially higher offers. This can result in a quicker sale and a pleasing profit. If you are thinking about selling your house, consult with a real estate agent who can provide more information about the current market conditions.
