Inventory is LOW! As most folks searching for a house or debating whether or not to list their current home now; when looking at days on the market….things go really fast.
Part of the issue is COVID 19. A lot of people are just plain unsure of what to think. A lot of people may be waiting on a new job. Some may be wanting to buy a new home, but what they are looking for has not popped up on the market as of yet. It all comes down to inventory. If inventory is low, the chances of finding a new home that fits your needs are lowered. This, in turn, lowers the chances of “that” person putting their current home on the market.
What happens when inventory is low is the market becomes a “seller’s market”. This means inventory is less than a 6 month supply. Right now the Raleigh market is around 2 months supply. Meaning, if no other homes were to come on the market it would take 2 months to sell it all off. Sellers now have the upper hand as buyers do not have as many choices and this creates multiple offers….making it tough for all parties….. yes, even the sellers; no one wants to be rushed. And, those sellers receiving these offers then turn into buyers and now they are the ones trying to buy a new home….with a “sale contingency” most likely, making it a bit tougher.
So this will likely drive prices upward. This also creates misconceptions. The public thinks all REALTORS are swimming in money. The truth of the matter is there are less homes to sell, so REALTORS are actually making less money and working much harder ‘statistically’. Now, agents are writing offers for buyers only to not get the house, then start the process over again. On average, agents are writing 4-5 offers before getting one accepted. On the flip side, experienced agents with steady business are indeed selling more, but again, there are “a lot” of agents out there with little inventory to work with…see what I am saying?
Right now in Holly Springs alone, according to the Triangle MLS, there are a total of 217 ACTIVE listings. Out of those 217, 72 are resales. This means the other 145 are new construction. Most of the new construction numbers are actually pre sales. These are not yet built. So, in short, there are not many move in ready homes for sale.
It’s a numbers thing. If you are considering selling your home you really need to have a conversation with your agent about the “scenarios”. We do not always have the answers, but we are able to guide you with the current information and statistics. Experience matters.