Rising home values in this segment of the market can be attributed to a lack of supply, with 10
percent fewer homes for sale this year compared to last.
Too few homes for sale drove prices sky high and led to fierce competition among buyers, especially at the entry level.
There is so much demand for housing and
so few homes for sale, that prices have nowhere to go but up — unless they get so high that no one wants to buy.
There are
few homes for sale in the affluent coastal city, and, chances were, other agents had clients interested too.
During the last five years, the seller's market in many cities (
with fewer homes for sale than there were qualified buyers) usually meant all - cash sales.
Normally this makes a good seller's market, which is good for agents, but this market is different because there are
so few homes for sale.
There are many reasons for the drop in first - time buyers — strong home price appreciation, tight underwriting requirements, too -
few homes for sale at affordable price points — but there's at least one bit of good news to report: The Federal Housing Administration (FHA) is making it a little easier for buyers to get federally insured financing for condominiums.
«The housing market is tough right now, with
fewer homes for sale on the market than usual, and new mortgage rules and many mortgage products from which to choose,» says Marietta Rodriguez, vice president for homeownership and lending at NeighborWorks America.
Despite fewer homes for sale in September, unsold inventory is still 6.0 percent higher than a year ago, when there were 2.17 million existing homes available for sale.
Homebuyers eager to purchase before home prices and mortgage rates rise are
finding few homes for sale as sellers hold out for better deals, said Glenn Kelman, Redfin's CEO.
The real estate market was plagued by one big problem in 2017: There were
very few homes for sale, which pushed up prices, probably by 6 percent for the year in 2017.
In the opening bullets of the article, the author claimed, «Negative equity is one of the main reasons why there are
so few homes for sale.»
According to NAR Chief Economist Lawrence Yun, it's not buyer demand that's the problem; it's
too few homes for sale, especially among lower - cost starter homes.
There are 10 percent
fewer homes for sale compared with a year ago, and in the hottest markets, where prices are appreciating fastest, there are up to 40 percent fewer homes for sale, according to Zillow.
«Sellers are in the driver's seat this spring as the intense competition for
the few homes for sale is forcing many buyers to be aggressive in their offers,» Yun says.
«It is led mostly by constrained home availability as buyers continue to battle over
the few homes for sale, especially in the West.
«Sellers are in the driver's seat this spring as the intense competition for
the few homes for sale is forcing many buyers to be aggressive in their offers,» said Yun.
What this means to you as an investor is that there are
fewer homes for sale that are priced reasonably.
The sentiment is since there are very
few homes for sale, a new listing that is not yet available will not only whet appetites but it could generate a bidding frenzy when it is finally for sale.
Bay Area home sales fell 9.3 % from July of last year, a decline driven by high prices and
few homes for sale, CoreLogic DataQuick said.
Sales declines are a natural result of there being
fewer homes for sale, but higher prices often indicate higher demand leading of competitive bidding.
This is a period in which there are
few homes for sale but buyer demand is high.
When inventory is scarce, buyers are forced to compete over
the few homes for sale.
«In a fast - moving market with
fewer homes for sale and rising prices, more buyers find themselves in need of a real estate professional to help them find the right home and guide them through each step of the process,» says NAR President Tom Salomone.
In October, there were 5.1 %
fewer homes for sale than in September, and 12.2 % fewer than in October 2012.
In a seller's market, there are
fewer homes for sale to a larger pool of buyers.
The few homes for sale right now are more expensive.