While January seemed to have lasted a year, February has already come and almost gone. With springtime quickly approaching, we wanted to know how the housing market has been so far this year and what experts are predicting for the duration of 2020.
Chief economist, Daryl Fairweather reported that this past January brought buyers back due to low mortgage rates. Many agents are reporting that the January housing market is the new spring and much busier than they were anticipating. The low interest rates allowed buyers to be able to afford more house and make attractive offers.
Due to the large amount of buyers, inventory is low, lower than the last two decades have seen according to Daryl. The expectation is that new listings will hit the spring market because of builders taking advantage of the low interest rates, but there still won’t be enough new construction to keep up with demand. As a buyer, it’s important to be take charge and be aggressive in your approach.
Due to the low inventory and low interest rates, the coming spring and summer months will see a high level of competition. This makes it important more than ever to have a good agent who knows how to guide you through tough situations as a buyer. Some of these situations could be things like writing a competitive offer letter, tips on escalation clauses and advice on contingencies.
With all of that being said, Daryl says that it’s a great time to be seller. The low inventory and highly competitive market makes it easier to get more buck for your home.