The question of “Where is our market headed?” is one that I get a lot. I’m going to answer it today.
The direction the market is heading is a concern for both buyers and sellers. Sellers want to make sure they don’t miss out on the top price, and buyers want to make sure they don’t pay too much.
Compared to last year, our growth has slowed a little bit. But make no mistake—our market is still growing. Although we saw an incredible 13.2% growth in 2016 and that number is down to 10.4% in 2017, any appreciation rate close to 10% is outstanding.
At the same time, our inventory is even lower than it was at this point last year. Last year, we had 1.2 months of inventory at this time, which is an extremely low figure. This year, that number dropped to 0.7 months, or just three weeks of inventory. Until that inventory bumps up in the summer, we’re going to have a bottleneck of buyers. The best way for them to compete is by making an offer above asking price.
I see prices continuing to move up, but we’re in line for stabilization. When will that happen? I can’t tell you, but I can tell you that if you’ve been thinking about buying or selling a home, you need to give us a call or send us an email so we can discuss how the market relates to your individual situation. I’ll give you the facts and present you with your options and potential risks.
If you have any questions in the meantime, don’t hesitate to give me a call or send me an email. I look forward to hearing from you.