This year’s housing market continues to explode like fireworks! In today’s hot real estate market, home inventory is low while competition is high, giving sellers the opportunity to find multiple buyers a lot faster.
A shortage of homes for sale and inadequate levels of new construction has kept much of America in a seller’s market. The COVID-19 pandemic made the situation worse with countless buyers entering the market, while fewer sellers put their homes up for sale.
In 2020, homebuyers searched about eight weeks and looked at nine homes, according to the National Association of Realtors. At this point, 2021 may be a much tougher year for buyers.
According to survey data from the National Association of Home Builders, 64% of active homebuyers in the first quarter of 2021 had been searching for more than three months — and 45% of those buyers report that repeatedly being outbid has kept them from buying a home.
This fierce competition could be viewed as the Real Estate Olympics with buyers feeling the pressure to win a bid instead of a medal. In an effort to win bids, more buyers are purchasing with cash or getting minimal financing.
Overall, buyers are finding that flexible expectations provide more options for them in this hot real estate market. Therefore, looking for the perfect home may not be an option, so buyers are choosing their less than perfect homes to get closer to what they really want in a hot market.
Even though the market may prevent you from buying the house you want, contact Platinum Home Mortgage for a renovation loan to make your home perfect!