Reluctant sellers may enter the market
If a recent home survey from the National Association of Realtors is any sign, the days of strapped housing inventory may be coming to a close.
According to NAR’s recent Housing Opportunities and Market Experience Survey, 80 percent of current homeowners think it’s a good time to sell.Verify your new rate (Nov 29th, 2020)
The market has been tight on inventory for months. And while slow housing starts are part of the problem, hesitant-to-sell homeowners are quickly becoming factor No. 1.
As demand drives up housing prices, owners simply aren’t willing to list their properties and risk entering the competitive marketplace.
In fact, according to NAR, existing home sales have declined in four out of the last five months. As NAR’s Chief Economist Lawrence Yun puts it, “The housing market has been in a funk since early spring because of the ongoing scarcity of new and existing homes for sale.”
The organization’s HOME survey indicates that trend may be on its way out though. About eight out of 10 homeowners say now is a good time to sell their home. That’s a survey high and a major jump from just one year ago when only 67 percent of owners shared the sentiment.
From renters to buyers
NAR’s survey also revealed another positive note: more renters are optimistic about buying. According to the survey, 62 percent of today’s renters think it’s a good time to buy a home. This marks a jump from 52 percent last quarter and 60 percent in 2016.
As more than half of renters think they’ll end up paying more in rent next year, the findings aren’t too surprising. In fact, about 15 percent say if their rent does increase, they’ll consider buying a home as a result.
What are today’s mortgage rates?
With mortgage rates low and more homes poised to hit the market, now’s a prime time to buy a home. Check out today’s mortgage rates and see what you qualify for now.Verify your new rate (Nov 29th, 2020)