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| 3. Generational Growth
Which in turn makes New Building Construction is not keeping up with the new generations population growth and annual change declining. Less homes being built more demand in age group alone. Washington |
So What is this Causing?
Bidding Wars!!!
Bidding wars are almost certain as of today.
Personally our team has experienced for leading desired homes and or properly priced homes with most activity can see:
- Offers $20-$75k over asking
- Escalations an additional $30-$60k over that
- Money on low appraisals $5-$50k
- Waived inspections, HOA review, and a few other addendums.
But note these are for properties that experience more then 3+ offers. Some agents are still missing the market which allows for more time on market and opportunities to jump in with less extremes. typically this falls in the compromise and potential homes. Buyers and sellers see below summery.
Is this leading to a housing bubble?
Many valid concerns and media hype have been written that a bubble is highly possible, but chief economist Mathew Gardner in this video outlines why he disagrees with headlines and explains why we are likely not in any housing bubble. Click Here to view
You can find more about what he discussed here
Notable Articles:
Forbes: More housing Supply is Finally on the Horizon
Zillow: Could more homes be on the horizon?
Everyone Is a Realtor!!
COVID and a booming housing market have fueled a record number of Realtors…Read More
Hiring a professional team, full time, experienced, and knowledgeable agents matter in any market. I have been a full time realtor for 10 years and we have the numbers and reviews to back it. See below
Veterans Agents Inc. 2021 stats – Verify Here
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17 Closed sales, 6 pending sales
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$18,000,000 Volume sales
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4 Average Days on market
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5% Average over list price sold
Sellers:
You have been riding a equitable bull for quite some time. Year over year you have gained amazing appreciation. Rental sales are on the rise and indicators suggest the incline will start to slow down in the coming years and potently more inventory. Everyone is a realtor nowadays. Putting a sign in is easy but pricing is still key and you need experience with how to handle proper pricing, handling objections from appraisers, and catching /foreseeing issues with price, buyers financing, and much more. My 9 point CMA does just that from the start. You don’t want to list at market value and get 20 offers. You want to list above that (situation dependent) and get 4-6 substantial, qualified, secure offers.
- Quality/approved buyers
- Money on low appraisal
- Confidence in buyer and agent/lender to close
- Expectations set from the start.
Buyers:
Even in this market you are still able to gain great equity as you can see month over month year over year. We understand, feel, and live the frustrations daily from all of our buyers and associates. We are writing on average 4-7 deals a week. Just know there is nothing you or we are doing wrong as long as you are taking our advice we will get you into a home. Not much we can do against deep pockets from the North and south. You still have phenomenal interest rates. The Keys to getting into a home are
- Patience
- Persistence
- See Potential in homes you wouldn’t often look at.
- Compromise where you can.
- Save money to use for earnest money, money on low appraisal, etc. for stronger offers
- Don’t get discouraged
Summery:
There appears to be no housing bubble. This last week of May we have seen a spike in inventory and price reductions, more days on market . This indicates at the very least summer inventory is kicking off. But this could also be due to many factors like rentals being sold due to eviction moratoriums, early retirements and people leaving the state., etc. Covid delayed summer inventory last year so that slump is hard to determine this summers outlook. Buyers and sellers need strong advocates in this market. Agents who analyze the data, get deals and offers accepted, coordinate and plan accordingly. Because as you learned above things are unpredictable. The market is robust still in a sellers market and that time may continue or we may start to see some multiple point efforts to gain equities and watch markets change in the coming months due to exodus, inflation, rates, and more influences.
As always contact us anytime for questions, strategy, and or to get started!
Get Started Here
