Sell my home over the winter you say? What tomfoolery is this? It turns out, selling your home during the coming winter months might be a fantastic idea.
We have been gabbing about selling strategies for the past couple months because the buyers are "out there" and there seems to be a lack of inventory to satisfy them.
This winter is shaping up to be no different and comes along with a handful of other great reasons to throw your proverbial hat in the ring. Let's dig in and see why this winter might just be the best time to sell.
Historically, winter has been a pretty quiet time in the world of real estate. With the colder (inclement) weather, the holidays, and many folks simply hibernating for a bit, the market tends to quiet to a dull roar.
Both buyers and sellers tend to "back burner" their real estate goals for the season. This year, however, things are looking a little different. There are a handful of factors contributing to, what is shaping up to be, a really strong winter selling (and buying) season.
We can't ignore the (sick) elephant in the room. The pandemic has obviously shifted just about everything in our lives. Real estate is no different. While spring tends to be the "re-awakening" of the market, this year it was a little quiet. Folks were stuck in lockdown and nobody wanted to leave the house, much less have random buyers trouncing around their home.
This is fully understandable and we were collectively forced to implement new, creative solutions for showing and selling homes. You can cruise through The Conway Daily Sun's archives to find great tips on showings and home improvement ideas to help.
The current reality is there's a bit of pent up demand in the market. If you consider the "normal" group of folks that would have been exploring the market throughout the entire spring/summer season, it is a non-trivial number.
So, in theory, all of those people (who stayed on the sidelines) combined with the "normal" crop of folks who simply need to relocate this winter, add up to a pretty substantial interest in the real estate market. And this is just one of the reasons you should be putting your home on the market.
The other reason this is shaping up to be a solid season is the demand for larger homes. No, we're most certainly not — at least I hope not — heading back to the time of the McMansion. The reality is, we are starting to accept that this pandemic is not going away anytime soon. Folks that are now working (and schooling) from home are realizing they need more space.
Up until now, one could step outside with a laptop and fully function for work or school. With the dropping temperatures, this option will be eliminated and we'll all be stuck indoors. If you have kids and you're working from home, I trust this reality is already upon you.
For sellers, not much has changed with regards to the inventory available. We are still seeing lower than normal numbers and adding your home to the fray could not come at a better time.
According to realtor.com’s Monthly Housing Market Trends Report, in September, national housing inventory declined 39 percent over last year. This simply means you have the advantage of a strong position with regards to your home's selling price. With inventory low and demand slowly increasing, sellers will be in a great position.
While we don't necessarily "listen" to the national trends, median home listing prices were up 11.1 percent over this time last year and price per square foot jumped 13.9 percent. And while that is a sign of strength for sellers, buyers are simply loving the position of these amazing interest rates.
"The current interest rates are the lowest in my lifetime, for sure," Badger Realty agent Jeff Gagnon said. "Freddie Mac is showing 2.8 percent on 30-year fixed mortgages. It's a great time to be a buyer as well."
Lastly, the other "elephant" in the room is the election. By the time you are reading this, we will (hopefully) have a decision on who will be president. This always plays around a bit with the market so keep your eyes on your favorite (unbiased) news source (I love this paper and the Associated Press) and try and maintain your sanity through this funky time we are all living through.
Honestly, this is a really great time to be in the real estate game regardless of which side you are on (selling or buying). Don't let Old Man Winter scare you off. Dip your toe in the water or just jump in and do a cannonball. You'll be glad you did.
Jason Robie works for Badger Realty.