Buyers hoping for more homes to choose from may be in luck as housing inventory is beginning to rise. Many experts agree – new sellers listing their homes is great news for buyers and the overall market. Although the supply increases are slight, more homes means more options for buyers. A rise in inventory may also help slow the price gains we’ve seen recently and could be a sign of good things to come. As Danielle Hale, Chief Economist for Realtor.com, recently said:
“The influx of new sellers over the last couple months has helped slow price gains and given buyers the hope that they will be able to find a home that is a good fit.”
Besides a slight increase in inventory, we are also starting to see less competition from multiple buyers. It may be that the rapid run up in house prices is starting to exhaust potential homebuyers. Recent home purchase mortgage applications data shows a decline in new applicants. And, while sales metrics remain above pre-pandemic levels, the pace of sales has cooled since the first quarter of this year. Lawernce Yun, Chief Economist for the National Association of Realtors, cautions:
“As the inventory is beginning to pick up ever so modestly, we are still facing a housing shortage, but we may have turned a corner.”
If you’re searching for a home to buy, rising inventory is welcome news. But not to worry if you are thinking about selling. Home prices are still at historic levels and homes are continuing to see large equity gains. Freddie Mac recently released their quarterly forecast and they expect prices to continue rising with moderate growth in 2022. Nationwide, 2021 is expected to achieve a growth of 12.1% followed by 5.3% in 2022.
Are you thinking about buying or selling? Now is a great time! At Arrive Real Estate Group, we have the integrity, clarity and results to help you achieve your real estate goals. Contact us today to discover the difference with Arrive Real Estate Group.