What type of market are we in? Is it still a sellers’ market?
“Although the winter storms slowed activity in February, this does not indicate a market slowdown. We’re still very much in a sellers’ market,” This according to Susan Horton, 2021 ABoR president, said. “Across the region, a high quantity of offers, cash offers, and requests to waive appraisals or option fees are increasingly commonplace. Transaction contracts are complex with negotiations that require the expertise of a REALTOR® to navigate.”
The year over year statistics show the continued boom. The median sales price in the Austin area is up 22% this month at $395,000. The homes closed are at 2,389, which is down 8%. This is mainly due to the snowstorm. Homes spent half the time on the market at an average of only 31 days. Pending sales, new listings, and active listings are all down which all adds up to decreased inventory. This has led to prices increasing significantly. The Total Sales Dollar Volume is up 15% at $1.2 Billion.
Chief Economist and Senior Vice President of research at the National Association of REALTORS®, shared his input about the nationwide shortage of inventory with ABoR. He states, “Until we have more supply, the lack of inventory and prices rising nationwide are going to present challenges for homebuyers everywhere,” Yun said. “Although it’s not visible, mortgage rates will continue to rise throughout the year. Get all your documents and finances prepared early, and realize you may not buy your dream home, but it will be a worthwhile investment,” Yun concluded.