Thinking about selling your house this year? There may be no better time for that than now. The inventory of homes for sale in Chicago, as well as the nation, is well below historic norms. In addition, buyer demand is very strong and this creates a perfect seller's market. It's as simple as the concept of supply and demand: the best time to sell something is when supply of that item is low and demand for that item is high. That defines today’s real estate market. Inventory of real estate is unique and unlike consumer goods: When there is a shortage of a consumer item, you just produce more to meet the demand. You cannot do that with houses, at least not in the short term.
Jonathan Smoke, the Chief Economist of realtor.com, in a recent article revealed that: “Would-be buyers face a dilemma: There will be more homes on the market over each week of the next three to four months, but there will also be even more prospective buyers. We are entering the busiest season of home buying with the lowest amount of inventory in three years. To be competitive, buyers should get pre-approved for a mortgage and be ready to act quickly if they find a home that meets their needs.”
Smoke continues to say: “Listings are growing as they normally do this time of the year, but because demand has been growing faster than supply, homes are selling faster. So the monthly trend is the normal seasonal pattern, but the year-over-year decline is reflective of demand being stronger than supply for more than a year, which is resulting in fewer homes available and faster-moving inventory.”
In this type of market, a seller may hold a major advantage when it comes to negotiating price and other aspects of the real estate transaction including the inspection, appraisal and financing contingencies.
As a potential seller, you are in the driver’s seat right now. It might be time to hit the gas. Contact Andreas Holder for a no-cost consultation if you would like to find out more about selling your home!Posted by Andreas Holder on