An important metric in today’s residential real estate market is the number of homes available for sale. The shortage of availablehousing inventoryis the major reason for the double-digit price appreciation we’ve seen in each of the last two years. It’s the reason many would-be purchasers are frustrated with the bidding wars over the homes that are available. However, signs of relief are finally appearing.
According todatafromrealtor.com, active listings have increased over the last four months. They define active listings as:
“The active listing count tracks the number of for sale properties on the market, excluding pending listings where a pending status is available. This is a snapshot measure of how many active listings can be expected on any given day of the specified month.”
What normally happens throughout the year?
Historically, housing inventory increases throughout the summer months, starts to tail off in the fall, and then drops significantly over the winter. The graph below shows this trend along with the month active listings peaked in 2017, 2018, and 2019.
What happened last year?
Last year, the trend was different. Historical seasonality wasn’t repeated in 2020 since many homeowners held off on putting their houses up for sale because of the pandemic (see graph below). In 2020, active listings peaked in April, and then fell off dramatically for the remainder of the year.
What’s happening this year?
Due to the decline of active listings in 2020, 2021 began with record-low housing inventory counts. However, we’ve been building inventory over the last several months as more listings come to the market (see graph below):There are three main reasons we may see listings continue to increase throughout this fall and into the winter.
Pent-up selling demand– Homeowners may be more comfortable putting their homes on the market as more and more Americans get vaccinated.
New construction is starting to take off– Though new construction is not included in therealtor.comnumbers, as more new homes are built, there will be more options for current homeowners to consider when they sell. The lack of options has slowed many potential sellers in the past.
The end of forbearance will create some new listings– Most experts believe the end of the forbearance program will not lead to a wave of foreclosuresfor several reasons. Themain reasonis the level of equity homeowners currently have in their homes. Many homeowners will be able to sell their homes instead of going to foreclosure, which will lead to some additional listings on the market.
If you’re in the market to buy a home,stick with it. There are new listings becoming available every day. If you’re thinking of selling your house, you may want to list your home before this additional competition comes to market.
Author:Brian Woodhead -Skyline Team Leader Phone: 602-369-0671 Dated: September 16th 2021 Views: 15 About Brian Woodhead: Realtor Designation
You deserve a Realtor with the Knowledge from these designations. Realtor’s...
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You deserve a Realtor with the Knowledge from these designations. Realtor’s that take the time to earn these designations are the industry leaders and top producers. We care about your real estate purchase and want to give you a level of service and representation that will make you a client for life. Brian Woodhead has all of the following:
MASTERS OF REAL ESTATE SOCIETY-
Membership in the MRE society recognizes an individuals dedication to excellence through professional education and commitment to staying abreast of the latest real estate regulations and practices. Less than one percent of REALTORS in Arizona belong to this Society.
GRI - Graduate, REALTOR® Institute
The Graduate REALTOR® Institute (GRI) symbol is the mark of a real estate professional who has made a commitment to providing a superior level of professional services by earning the GRI designation. REALTORS® with the GRI designation are highly trained in many areas of real estate to better serve and protect their clients.
Why Choose a REALTOR® With a GRI designation?
Buying property is a complex and stressful task. In fact, it's often the biggest single investment you will make in your lifetime. At the same time, real estate transactions have become increasingly complicated.
New technology, laws, procedures and the increasing sophistication of buyers and sellers require real estate practitioners to perform at an ever-increasing level of professionalism.
So it's more important than ever that you work with an agent who has a keen understanding of the real estate business. The GRI program has helped the best and the brightest in the industry achieve that level of understanding.
• Nationally recognized as top performers in the real estate industry
• Professionally trained
• Dedicated to bringing you quality service
A GRI can make a difference
When you see the letters "GRI" after an agent's name, you can count on receiving the knowledge and guidance you need to make your transaction go smoothly. In short, you can count on getting the best service available from a real estate professional.
CRS - Certified Residential Specialist
Why a CRS? Today, home buying and selling is faster, more complex, and more competitive in every way. Our goal is to make the process a little easier for you. The first step is choosing the right REALTOR®.
Experience - To earn the Certified Residential Specialist (CRS) Designation, every REALTOR® must have significant experience and volume of real estate transactions.
Ethics - Every CRS Designee is required to maintain membership in the NATIONAL ASSOCIATION OF REALTORS® and to abide by its strict Code of Ethics.
A focus in home buying and selling - To help make the home buying and selling process more rewarding, every CRS Designee must have a proven track record in the business, as well as advanced education in related areas like finance, technology and marketing. Work with the top 5%
Technology Expertise - The training available to CRS Designees includes a strong focus on technology and its applications in the real estate business.
ABR - Accredited Buyer Representative
The Accredited Buyer Representative (ABR) designation is the benchmark of excellence in buyer representation. d designation is awarded by the Real Estate BUYER'S AGENT Council (REBAC), an affiliate of the National Association of REALTORS, to real estate practitioners who meet the specified educational and practical experience criteria. More than one million people in the United States are licensed to sell real estate. Of those licensees, fewer than 2 percent are Accredited Buyer Representatives (ABR).This covete
The New Real Estate Professional must meet the needs and expectations of the Connected Consumer. The rules of business are changing, especially the real estate industry. The e-PRO Certification Program is specifically designed to keep the agent on top of changes and help you meet your goals in the exciting and rewarding world of online real estate.