If you have been thinking of selling your home, now may be the perfect time to take advantage of low inventory, record-low interest rates, and the fact that you can work from home!
In the current market, more buyers are looking to purchase a home than sellers are selling them – this means it is a seller’s market and is a great opportunity to sell your home!
The National Association of Realtors (NAR) published their Existing Home Sales Report and found that total housing inventory is down 18.8% from last year – and the homes that do get put on the market sell quickly!
This low inventory is partially driven by an undersupply of new constriction since many contractors have paused housing projects due to the COVID-19 global pandemic. This slowdown is also driven by homeowners spending more time at home – they are staying put longer, further contributing to the shortage of houses on the market.
Lower Interest Rates
While housing inventory is low, demand is rising due to the historically low mortgage rates available to buyers.
30-year mortgage rates have fallen below 3% since Freddie Mac began publishing rates in 1971. 15-year mortgage rates are even lower.
These lower interest rates are great for sellers because homebuyers can afford to take on a larger mortgage. Not only does this allow sellers to raise the asking price for their home, but it also increases their purchasing power when they move to their new home.
The equity you have built up in your home can also stretch further as a result of lower interest rates – you can take on a larger mortgage after selling your home while keeping your payments about the same if your current interest rate is higher.
Remote Learning & Employment
Remote learning and working from home have become the norm as a result of COVID-19. This usually means your entire family is working or going to school virtually – and many have realized their current home just does not have enough space.
The combination of low inventory and interest rates makes this the perfect time to sell your home and find a space that is more accommodating to remote work. Take this opportunity to find a home with your dream office and plenty of room for your family to socially distance at home!