The Buffalo County real estate market is anticipated to do very nicely this 12 months as mortgage rates stay at historic lows. One challenge to the housing industry is the shortage of properties out there on the market. Last week, move.com launched a report showing that 2020 is starting with the least available housing stock in two years. The report explains:
“Last month saw the largest the most important the biggest year-over-year decline of housing inventory in nearly three years with a dramatic 12 p.c decline, pushing the number of houses on the market in the U.S. to the lowest stage since January 2018.”
The report also revealed that the decline in inventory stretches throughout all price points, as shown in the following graph:George Ratiu, Senior Economist at realtor.com, explains how this drop in available properties for sale comes at a time when extra consumers are anticipated to enter the market:
“The market is battling a large housing undersupply simply as 4.eight million millennials are reaching 30-years of age in 2020, a major age for many to purchase their first house. The significant stock drop…is a harbinger of the continuing imbalance anticipated to plague this yr’s markets, because the number of properties on the market are poised to achieve traditionally low ranges.”
The question is: What does this mean to you?
If You’re a Buffalo County Home Buyer…
Be patient throughout your home search. It might take time to discover a house you’re keen on. When you do, nonetheless, be ready to maneuver ahead shortly. Get pre-approved for a mortgage, be ready to make a competitive offer from the beginning, and understand that a} shortage in inventory might result in the resurgence of bidding wars. Calculate just how far you’re prepared to go to secure a home, in the event you really adore it.
If You’re a Buffalo County Home Seller…
Understand that, in some ways, you’re in the driver’s seat. When there’s a scarcity of an merchandise on the same time there is a robust demand for that merchandise, the seller of that item is in a great position to negotiate. Whether it is price, moving date, possible repairs, or anything, you’ll be able to demand extra from a potential purchaser at a time like this – especially if in case you have a number of buyers. Don’t be unreasonable, but understand you probably have the higher hand.
The Buffalo County housing market will stay strong throughout 2020. Understand what that means to you, whether or not you’re shopping for, selling, or doing both.