When businesses nationwide closed in early 2020 to prevent the spread of COVID-19, many feared the real estate market would see a collapse akin to the housing bubble burst of 2008. But instead, buyer demand soared, prices rose, and the end-of-summer real estate market has been quite robust, especially for home sellers.
Want to Take Advantage of an End-of-Summer Real Estate Boom?
If you’ve been thinking about listing your home in the Triangle area, now might just be the time. Buyer demand has skyrocketed, and prices along with it. Here’s why you should be prepping for a hot end-of-summer real estate market.
Interest rates are historically low
If you pay attention to the real estate market at all, you’ve probably heard that interest rates are pretty low right now. In fact, they’re not just low—they’re hovering near all-time record lows. In August, rates reached a new low of just 2.88%. For a buyer, that could mean saving thousands or tens of thousands of dollars on a mortgage, so it’s no surprise that buyer demand is climbing.
For you as a seller, it means a few things. One, buyers are out shopping! Two, buyers have more buying power—that is, less of their money is being spent on interest so they have more money to spend on a home. And three, if you are selling your home to buy another, you too can take advantage of big savings on a low interest rate.
Competition is low
Another big reason to list right now? You probably won’t see a lot of competition. Even before the pandemic, inventory of houses was low. Now, we’re looking at some of the lowest numbers in recent history. Many sellers are still hesitant to list their homes, which means the number of homes being listed is far outweighed by the number of buyers on the hunt.
Low inventory and high demand leave a lot of opportunity for sellers. When the number of buyers is greater than the number of homes, we start to see prices climb and houses move quickly. Multiple-offer scenarios and bidding wars are also not uncommon.
Buyer needs have changed
Another driving force behind the swell in buyer demand is a change in needs and wants. These days, many people are spending more time at home, which has led to an increase in demand for home features like offices, rec rooms, and outdoor spaces. Buyers want to be able to relax, work, work out, entertain, and spend time outside… without having to leave home.
If your home has any of these features, it could be in high demand. Single-family suburban homes (like most of the homes in the Triangle area) are what buyers are looking for these days!
It’s a good time to move up
If you’ve been thinking of trading your home in for something a little larger, now is a really good time to do so. Low interest rates give you more buying power—i.e., you can buy more home without spending more. Buyer demand is high, so your home will likely sell quickly, and with considerable gain in equity. And because demand is strongest in moderately priced homes (thanks to a growing market of millennial buyers), there is less demand for higher-priced homes, giving you a little more breathing room when you shop for a house.
Ready to Make a Move in the Triangle?
Are you thinking about selling your home in the Triangle area? We’d love to help! Contact 220 Agents today to learn more about how we can price your home accurately, get it looking fantastic, and list it for top dollar.