As a long-time real-estate agent, I’m taught never to sell, but to come to you from contribution. I know that someone must like and trust me first before he or she will engage with me. So while this following argument appears self-serving, how can I convince you it’s true? 😊
It’s a great time to buy a home this summer.
With so much economic uncertainty, a lot of people are waiting and wondering what the real-estate market is going to do next. Yet, savvy buyers realize this summer might be the best time to buy in years.
- You have negotiating power.
After years of sellers having all the leverage, the real-estate market has shifted. Analysts report that there are actually more sellers active in the market than buyers. In 2021 through 2023, there far more buyers were seeking to buy homes, driving intense competition, bidding wars, and extreme price growth.
Now, the market has shifted; buyers are regaining their negotiating power as a result. With more sellers than buyers, we are seeing many more price reductions and days that longer day on market for homes. Sellers are more willing to pay for repairs, cover some of your closing costs, or lower their asking price and final negotiated price. The return toward a more “normal” balanced market, signals a much healthier, more sustainable market, according to Lawrence Yun, Chief Economist of the National Association of Realtors. “With housing inventory levels reaching five-year highs, homebuyers in nearly every region of the country are in a better position to negotiate more favorable terms.”
Overall home inventory is still lower than normal; there are no worries about a nationwide oversupply or crash. The market is far different than the 2008 housing-market collapse, when deregulation allowed mortgage firms to make terribly reckless loans that led to the crash.
- You Have More Choices
The number of homes available for sale has improved a lot. See this chart from Keeping Current Matters.
More homes for sale means more choices. There’s a good chance your perfect match just hit the market – or will soon. So, it’s a great time to explore what’s out there. Jake Krimmel, Economist at Realtor.com, says with more fresh inventory hitting the market, buyers have better opportunities to find their home.
- You may discover more sellers to be more flexible on price.
With more homes for sale, they’re not selling at the same frenzied pace they were just a few years ago, reports Keeping Current Matters. Because homes are taking more time to sell, some sellers are choosing to lower their asking prices to draw buyers back in or speed the process. Those price reductions have increased over the last five months. In May, the volume of price cuts has returned to normal levels. This is yet another sign of the return to a more balanced, healthy market.
While you shouldn’t expect a big discount, you may find sellers are more flexible. The Street reports: “Although sellers have had the upper hand in the housing market over the past few years, houses are now staying on the market for longer, shifting negotiating power back to homebuyers.”
This summer brings a powerful combination for buyers: More homes to choose from, less competition, and sellers being more flexible on pricing.
Another reason: To build equity, it’s not so much when to buy a home. It’s how long you have been a homeowner.