This blog is for buyers and sellers in the Roaring Fork Valley and beyond! Come back every Wednesday for new Real Estate tips and discussions!
What is a Seller's Market?
The Roaring Fork Valley's housing market is currently tipping towards what is called a Seller's Market. Due to high demand, prices of homes are beginning to increase as people looking to buy is exceeding the number of available houses on the market.
Key Factors of a Seller's Market:
Economic/Situational - In many cases, a seller's market occurs when there is a boom in local labor opportunities. People are coming in for work and the demand for housing increases. In this case, it is more situational as we are dealing with the pandemic. With more people working remotely, and more people wanting to flee from their metro apartments, we are starting to see an influx of new buyers and an increase in the demand.
Interest Rates - In a seller's market, it is common to see interest rates start to trend downwards, thus creating more buyer interest as home affordability rises. For many first time buyers, this is a very beneficial and helpful trend. However, fluctuations will always occur, which further incentives buyers to make their purchase before the rates begin to rise again.
Low Supply - When a seller's market occurs, there is usually a lower inventory of available real estate. With a higher demand for properties, this makes selling your home easier than if it was a buyer's market. In this situation, the seller has the advantage. Whereas the buyers are not so fortunate as more often than not, there are multiple buyers looking at the same property, the perfect recipe for bidding wars.
Thinking About Selling?
If you are in a position to sell you home, perhaps you have been sitting on the fence about it for a while, selling now is a good idea. Take advantage of the demand, chances are you will have multiple buyers interested and can receive multiple offers. If you have any questions about selling your house and the process that takes, please feel free to reach out!