You may be wondering if home prices are going to crash. Believe it or not, some people might hope this happens so they can finally purchase a more affordable home. But experts agree that’s not what’s in the cards – and here’s why. More people want to buy a home than there are homes available to purchase, which drives prices up. Let’s break that down and explore why home prices aren’t coming down anytime soon nationally.
Prices depend on supply and demand The housing market works like any other market – prices rise when demand is high and supply is low. According to the latest estimates, the U.S. faces a housing shortfall of several million homes. That means far more people are looking to buy (demand) than homes for sale (supply).
When you’re ready to move, deciding what to do with your house is a big decision. Today, more homeowners are considering renting their homes instead of selling them.
Recent data from Zillow shows that about two-thirds (66%) of sellers thought about renting their home before listing, with nearly a third (28%) taking that possibility seriously. Compared to 2021, when fewer than half (47%) of homeowners considered renting before selling, this trend is clearly on the rise.
So, should you sell your house and use the money toward your next home or keep it as a rental to build long-term wealth? Let’s walk through some important questions to help you determine the right path for your financial and lifestyle goals.
More homes are on the market now than there have been in years – and that could be a game changer for you if you’re ready to buy. Let’s look at two reasons why.
You have more options to choose from
An article from realtor.com helps explain just how much the number of homes for sale has gone up this year: “There were 29.2% more homes actively for sale on a typical day in October compared with the same time in 2023, marking the twelfth consecutive month of annual inventory growth and the highest count since December 2019.”
And while the number of homes on the market still isn’t quite back to where it was in the years leading up to the pandemic, this is an improvement (see graph below):
If you’re debating whether or not you want to sell right now, it might be because you’ve got some unanswered questions, like if moving really makes sense in today’s market. Maybe you’re wondering if it’s even a good idea to move right now. Or you’re stressed because you think you won’t find a house you like.
To put your mind at ease, here’s how to tackle these two concerns head-on.
Is it even a good idea to move right now?
If you own a home already, you may have been holding off because you don’t want to sell and take on a higher mortgage rate on your next house. But your move may be a lot more feasible than you think, and that’s because of your equity.
If you want to sell your house in 2025, now's the time to start prepping. Even though it might seem like plenty of time between now and the new year, you should get a head start on any updates or repairs you want to make now. As Danielle Hale, Chief Economist at Realtor.com, says:
". . . now is the time to start thinking about what you need for your next home and then taking those steps to prepare to list . . . We have survey data that says 47 percent of sellers are taking longer than a month to get their home ready to sell, so getting them to start that process early can mean more flexibility."
By starting your prep work early, you'll give yourself plenty of time to get your house market-ready by the end of the year. But be…
Even if you’re not looking to move right away, you may have questions about how the election will impact the housing market.
When we look at historical trends, combined with what’s happening right now, we can find your answers. Based on historical data, mortgage rates decrease in the months before and home prices and sales increase the year after the election.
The facts show Presidential elections only have a small and temporary impact on the housing market.
Get in touch with The Aaronson Group today. Call: 949-388-5194 or email info@previewochomes.com
An Off Market Listing from The Aaronson Group in Corona Del Mar, CA
Luxury living is about more than stunning views and cutting-edge smart home technology—it’s about elevating your lifestyle. Luxury Coastal Properties are The Aaronson Group's specialty. And if you’re in the market for a million-dollar home, now is an excellent time to explore the thriving luxury market. Here’s why.
The number of luxury homes is growing
The top of the market, or luxury homes, can mean different things depending on where you live. However, these homes are generally in the top 5% price range in any area. According to a recent report from Redfin, the average value of those homes has risen to over one million dollars: “The median sale
Are you deciding whether to sell your house now or hold off? It’s a common dilemma, but here’s a pivotal point: your lifestyle might be the most significant factor in your decision. While financial aspects are important, sometimes the personal motivations for moving are reason enough to decide sooner rather than later.
An annual report from the National Association of Realtors (NAR) explains why homeowners like you chose to sell. All of the top reasons are related to life changes. As the graph below highlights:
As the visual shows, the most significant motivators were the desire to be closer to friends or family, outgrowing their current house, or experiencing a vital life change like getting married or having a baby. The need
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