Real Estate Heading into the Holidays
As we inch closer to the holidays, we should begin to see a sharp decrease in the number of homes coming on the market. And if this year is like previous years, we should also expect to see low inventory through February or March of next year. When there’s a consistent stream of buyers and less homes on the market, it’s a classic case of supply and demand — so we also tend to see an upward shift in the market in terms of prices.
Check out these stats showing where the market was last year and where it is now. And scroll down for my advice to buyers and sellers looking to make a move over the next few months.
2017 Q3 vs. 2018 Q3
There were roughly 15% more new listings in 2018
There were about 10% less sales in 2018
The average list price of a home is about 9% higher in 2018
Average sale price is about 13% higher in 2018
Sept/Oct 2017 vs. Sept/Oct 2018
There were roughly 8% more new listings in 2018
Number of sales is down by about 25% in 2018
The average list price is up by about 4% in 2018
The average sale price is up by about 10% in 2018
There have been more than 3x the amount of price reductions in 2018
The average days on market is up by about 55% in 2018
For buyers, now might be a great time to jump into the market, with the potential of rising interest rates and low inventory. While there may be less on the market, there are often off-market opportunities as well. Some sellers are willing to sell over the holidays, but don’t want to have hundreds of prospective buyers through their home during the holidays. If you’re interested in hearing more about off-market opportunities in the area, feel free to call me or drop me a line.
For sellers, timing and pricing are both extremely critical and you’ll want to work with an experienced real estate agent who is dialed into the local market. With the low inventory we’re likely to see in coming months, there may be a window of opportunity to sell at a really good time, get a rent back, and take your time to find the right next home. If you need advice or would like to schedule a complimentary consultation to look at your home’s value, I’d love to meet with you.
Cliff Whearley has been a resident of Redwood City for 23 years and was named Realtor of the Year 2016 at Dwell Realtors, Inc. If you have any real estate questions, he would love to help!