When it comes to the latest news in real estate, there are a lot of sensational headlines in the media. In times like this, when it can be hard to know what to believe, put your trust in the experts. Those of us in the housing market respect that buying or selling a home is a major life decision, and we offer advice based on what the data shows.
Despite what you may have read, the housing market is still undeniably strong. Here’s a look at what leading experts have to say about buyer demand today and how it continues to shape the industry:
Michael Lane, President at ShowingTime:
“In general, there are definite signs of cooling demand. However, buyer traffic is still at historically high levels compared to pre-pandemic showings.”
Bob Brick, Broker/Co-Owner at RE/MAX Bayshore:
“The local housing market continues to be strong from third-quarter numbers. Locally, sold prices increased over 2% in the last 30 days, and our on-the-market housing supply is down 30+%. To offset this, interest rates are at all-time lows. So, while it is true that it’s currently a very favorable market for sellers, low mortgage rates offer a very attractive bridge to affordability, and thus, buyers are also benefiting in this marketplace as well.”
Odeta Kushi, Deputy Chief Economist at First American:
“Seasonally adjusted purchase applications tick up slightly to the highest level since July. Demand for homes remains strong and steady. Excluding 2020 (not a good benchmark) purchase applications are the strongest in a decade.”
Eric Levanduski, Agent, Brick & Corbett at RE/MAX Bayshore:
“Although most homes are still FLYING off the market with multiple offers, some of them don’t. If you can find a home that lasts through the initial ‘just listed’ wave of interest, that’s a big opportunity for you as a buyer. Use that FHA or RD loan, ask for some closing costs from the seller, and save yourself from needing to bring thousands of extra dollars to the closing table from bridging an appraisal gap. There are still great opportunities for buyers…trust your Realtor to guide you in the right direction.”
Selma Hepp, Deputy Chief Economist at CoreLogic:
“Home buyer demand pushed price growth to a new record high in June, with S&P CoreLogic national Case-Shiller Index clocking in an 18.6% year-over-year growth rate. The month-to-month index jumped 2.18%, making it another strong monthly growth, and the fastest May-to-June increase since the data series began.”
Lydia Wiley Smith, Agent, Brick & Corbett at RE/MAX Bayshore:
“The work-from-home opportunities that many employers are offering have allowed people, who once only dreamed of living in Northern Michigan, the freedom to move here full time. Home buyers are seeking Traverse City and the surrounding towns for the abundance of fresh water, natural beauty, year-round outdoor activities, and the thriving downtown centers filled with small businesses. People from all parts of the country and all walks of life, college grads and young professionals, families, retirees, and seniors, are drawn to the quality of life found in Northern Michigan. The demand for housing in our beautiful region continues to climb.“
What It Means for You
While things have cooled slightly since the peak of the pandemic housing rush, buyer demand is clearly still far surpassing historical norms. As a seller, buyer demand is an important factor that helps influence how fast your house will sell and how many buyers may be competing for it. When buyers have to compete against each other for a limited supply of available homes, bidding wars can drive prices up. This is price growth we have seen firsthand here in Northern Michigan as well. Locally, the median sold price in Grand Traverse County has risen $3,035 over the median list price since last September, making the median sold price well over $300,000.
Unfortunately, media headlines are often designed to terrify, rather than clarify. If you’re torn on whether or not you want to sell your home this year, rest assured that it’s still a great time to make a move. Connect with the Brick & Corbett Team today to discuss how you can sell soon, without undue stress, and on the best possible terms for you– thanks to our expert knowledge, and today’s buyer demand.