The success of the U.S. residential real estate market, like any other market, is determined by supply and demand. This means we need to look at how many potential purchasers are in the market versus the number of houses that are available to buy.
With early 2020 housing data now rolling in, it’s quite evident there are two big stories impacting this year’s residential real estate market:
1. Buyer demand is already extremely strong
2. Housing supply is at a historically low level
ShowingTime is a firm that compiles data from property showings scheduled across the country. The latest ShowingTime Showing Index reveals how showings have increased in each of the country’s four regions for five months in a row.
Move.com also just released information indicating that the number of homes currently for sale has declined rapidly and now sits at the lowest level in almost a decade. They explained,
“National housing inventory declined 13.6 percent in January, the steepest year-over-year decrease in more than 4 years, pushing the supply of for sale homes in the U.S. to its lowest level since realtor.com began tracking the data in 2012.”
In response to these numbers, Danielle Hale, Chief Economist at realtor.com, said,
“Homebuyers took advantage of low mortgage rates and stable listing prices to drive sales higher at the end of 2019, further depleting the already limited inventory of homes for sale. With fewer homes coming up for sale, we’ve hit another new low of for sale-listings in January.”
Since there’s a historic shortage of homes for sale, putting your home on the market today could drive an excellent price and give you additional negotiating leverage when selling your house. Let’s get together to determine if listing your house now is your best move.
Search Denver Area Homes:
Start the process today by searching the MLS for your next home. Mortgage interest rates are still historically low and the metro Denver market has more housing inventory that it did a few years ago. Explore the homes available today to get a feel for price points, types of homes, and locations so you have a better feel when it comes time to take a more serious look. My Denver real estate blog is full of useful information for homebuyers considering buying a home. Please call me, or send me an email / text, to discuss your thoughts about your next home.
Please contact me before you look at new construction, remember the builder’s real estate agent represents the builder’s interest, not your’s. There is no cost for you to have a buyer’s agent represent you in a transaction with a sophisticated seller. In fact, I may be able to help you save money and negotiate for extras which the builder may not let you know about.
Time To Sell Your Home?
When it is time to sell your home in the Denver area, I encourage you to work with a real estate agent who has the experience and knowledge to provide an accurate market comparison so you can determine the right asking price. The market is more balanced now and your asking price is an important component of your selling strategy. And if you are selling your home to then buy a new home, you’re in luck, we are now in a “goldilocks” market ideal for that type of transaction. Contact me today to learn how your home stacks up against the competition and how we can position your property to sell quickly and for a fair price.