Last year, many homeowners were wary about selling their houses due to the emerging the health crisis. This year, however, homeowners are beginning to regain their confidence when it comes to selling.
Fannie Mae's latest report shows that 57% of consumers believe now is a good time to sell, and experts are optimistic that consumer positivity around selling will lead to more homeowners making moves this year. Doug Duncan, Vice President and Chief Economist at Fannie Mae, explains:
“Overall, the index’s monthly increase was driven largely by a substantial jump in the share of consumers reporting that it’s a good time to sell a home, with many citing favorable mortgage rates, high home prices, and low housing inventory as their primary rationale.”
Thinking of Selling?
The fact that there are so few houses available for sale today is a main motivation that’s encouraging homeowners to think more positively about selling. The National Association of Realtors (NAR) states:
“Total housing inventory at the end of January amounted to 1.04 million units, down 1.9% from December and down 25.7% from one year ago (1.40 million).”
With so few homes available to buy, listed properties are more likely to make their way onto eager purchasers' wish lists in this competitive market. Further, the high demand is creating upward pressure on home prices and multiple-offer situations. According to the NAR, the average home for sale is receiving 3.7 offers today, up from 2.3 offers just one year ago.
In this kind of market, sellers have a huge advantage, and they can also use their equity toward a down payment on a new home when moving. Despite the challenges of finding a home to buy when selling, in many areas there are more homes available at the higher end of the market, so finding a move-up home may be less of an issue when browsing around this spring.