Have you been thinking about selling your home this year? Good news if you answered, “Yes.” There are a handful of noteworthy factors favoring sellers in the real estate market right now, suggesting that if there was ever a time to sell, now could be it. If you’re wondering why you should sell in 2017, consider these potential influencers!
- Mortgage rates are low. Low mortgage rates attract buyers because for them, it means lower monthly costs. At slightly more than 4 percent, mortgage rates for a 30-year fixed mortgage are currently at near 30-year lows. Even if rates increase over the course of 2017, experts predict that they are still going to be low enough to appeal to buyers.
- Inventory is low. We discussed the reasons for this in last week’s blog, “Why Housing Inventory is at its Lowest in Nearly 20 Years.” As per the rules of supply and demand, with a lower supply of homes comes more demand from buyers—in theory suggesting that homes should sell quicker. According to the National Association of Realtors (NAR), in November 2016 there were only 1.85 million homes for sale, which is 9.3 percent lower than November 2015 and 54 percent lower than just before the housing market crashed in 2007.
- Home prices are up. An effect of low mortgage rates and low inventory, a rise in home prices obviously bodes well for the seller. According to the NAR, the median existing home price in November 2016 was $234,900, a 6.8 percent increase from November 2015. In Lee County, the median sold price was $222,000 in December 2016, compared to $198,330 in December 2015.
- Unemployment is decreasing. And wages are increasing. Both of these lead to strengthened consumer confidence, meaning more buyers entering the market. According to the Bureau of Labor Statistics, unemployment has been steadily decreasing on an annual basis since 2009. National unemployment in December 2016 was 4.7 percent, compared to 5 percent in December 2015 and 9.9 percent in December 2009.
Taking advantage of these trends before they change could be incentive enough for you to sell in 2017! If you are in the Auburn and Opelika area and are thinking about selling your home this year, contact Realtor Ryan Roberts today! Call Ryan at 334-750-9872, or email [email protected].
