You might have recently battled with a ridiculous amount of offers when trying to buy or got an offer as a seller that was so high it felt like you won the lottery. It probably left you wondering, ‘just how hot is today’s real estate market’? The answer might shock you: it’s the hottest real estate market recorded in the last 25 years. To help you wrap your brain around that, 25 years ago, Pokémon was just hitting the market.
Here’s why it’s so hot:
An Increase in Pending Home Sales
Pending Home Sales have increased by almost 50 percent compared to average years. In real estate, pending home sales is a key indicator in determining the strength of the housing market – it measures how many existing homes went into contract in a specific month. When a buyer goes through the steps to purchase a home, the final one is the closing. On average, that happens about two months after the contract is signed, depending on how fast or slow the process takes in that area.
An Increase in Building Permits
Residential building permits increased nationally compared to the same time last year. And data shows that an increase in construction and renovation means an increase in the number of housing units planned for future competition. But even with this increase in building permits, experts still say it won’t put a dent in the housing shortage that every market is feeling. At least it means that houses popping up on the market are freshly renovated, though.
What You Need to Know
With new residential construction right around the corner, you can feel confident you’ll have a place to move into once you sell your home. Maybe it’s time to finally design the home you’ve always wanted. Reach out to a local real estate professional today to discuss selling your house while demand from eager buyers is high.