We are full blast into the Spring selling season and the question is, are we in a buyer or sellers’ market?
Here are some facts on the real estate market:
- Available inventory continues to rise which means more choices for home buyers. Listings nationwide are up 3.2 % vs a year ago. That is good news for buyers based on supply & demand.
- Home prices continue to rise, up about 7% over last year. Good news for sellers, but a lot of sellers’ are being asked to reduce price or give a credit to secure a deal.
- Mortgage interest rates have gone down. This is great news for buyers, and also good for sellers. At the end of 2018, the average rate for a 30-year mortgage was around 4.875%. Today the 30 year fixed rate mortgage is around 4.125%. Potential buyers get motivated by lower rates, which creates a good market for both buyers and sellers.
- Homes are staying on the market longer. It is taking longer to sell, sellers are experiencing more difficulties and are willing to negotiate to secure a transaction.
Overall the market appears to be leaning toward a buyers’ market. A home in good condition or new construction priced correctly should sell in in a fair amount of time. If employment numbers stay strong and interest rates remain low, 2019 should shape up to be a great year for home sales.