Understanding the Current Housing Market

The housing market has seen several wild fluctuations in recent decades. We saw a huge boom just before the great recession hit, leading to home values plummeting in many places around the country. Since we have begun to pull out of the recession home sales and values had begun to slowly rise. However, in the last year a new trend is emerging. Some are concerned it is a sign of yet another housing bubble, but the one thing that cannot be denied is that we are now, yet again, seeing a sellers’ market. 

The statistics are showing that this trend is occurring in most regions in the country. One of the biggest and most competitive markets currently is in the Midwest, where they have seen record setting growth, not only in the increase of sales, but the total sales each month. This has given sellers a particular advantage. Some realtors are reporting that they can get above asking price due to just how desperate buyers are becoming and in many cases many thousands over the appraised value. You can also click this URL for other great idea on selling your properties.

One of the best resources for utterly understanding what is occurring in the housing market is to talk to realtors in the area that you may be considering buying or selling. They can give you the inside scoop of what is being experienced neighborhoods, cities and even regions. Due to how competitive markets are many realtors are expanding their markets in order to help ensure that they are able to meet the needs of buyers and sellers looking to relocate to other areas, and given the increased demand it really has become a necessity. 

In fact, realtors have begun to seek out those that may be on the fence about selling their home due to how great the demand is. While this may seem like an odd practice, or a pressure technique to get people to sell, the reality is that it is the best time to sell in many parts of the country than it has been in 15 years. Given how much the market has fluctuated it means that someone that may be considering a move or downsizing for retirement in the next few years may be better off to make that decision now instead of waiting. The risk of waiting is that the market could bottom out yet again and given the current state of the economy for many Americans, that idea is not too farfetched. 

Just like the stock market, when there are huge gains in the housing market there is always a risk that it will soon adjust itself. This occurs for a wide number of reasons but can be devastating for those that had hoped to sell at a future point of time, only to find that the market is not as favorable as it had been. If you own a home and are considering the idea of making a change in your life now may be the best time for you to look further into your options. A realtor is a good place to start in order to really understand the full picture of what the current market is like compared to what it was just one year ago as well as projections on what could be the possibility in the future.

A realtor can give your insight into what the current value of your home is. When you compare that to what you currently owe on your mortgage you can ascertain exactly what your profit would be if you were to take the step of selling now. They can also give your insight into what type of home you would be able to get in your budget in your area as well as just about anywhere else in the country. While they may not be experts on regions that you may be considering, they typically have a strong network that helps them to access that data more easily than if you were to do the research on your own.

If you are considering buying the risk is quite different. For example, if the market were to take a dive in the coming months or years your home value will surely decrease for some time. However, if you are looking to make a long-term commitment to a new home, then the risk is much lower as the market will almost surely rebound in the future. It is critical to think through every scenario to be sure that you are making the right choice based on your plans.

As stated above, this is a sellers’ market, but that does not mean that only sellers can benefit. In either case the seller benefits from being able to sell quickly while the buyer may have a wider range of options given that sellers are taking advantage. In any case, there is no doubt that the housing market is absolutely booming and likely will for the foreseeable future.