Rounding out the First Quarter of 2021, we’ve seen about 58% more properties hitting the market in the last week (284) compared to the first week of the quarter (180). This is good news for our market. We’re starting out the Second Quarter with a 21% increase in New Listings compared to the same time last year.
However, as you can see in the two blue lines above (New Listings and Pendings), that increased inventory was quickly absorbed by the existing pool of Buyers that has been waiting for more properties to hit the market. We’ve been getting more new contracts than new properties every week for almost a year now.
This has caused our inventory levels to steadily decline to the point that we only have about 20 days worth of homes left in the market. We are left with only 0.66 Months of Supply in the market. (This means if we had no more homes enter the market, we’d sell through all the available homes in less than 3 weeks!)
With the continued demand from Buyers, and a continued lack of homes in the market, I still expect more upward pressure on home prices this year. We should see Peak Pricing for Homes during this Spring and Summer Selling Season.
In March, our average sale price stayed near the previous month’s record high of $306,724. With an Average of $306,119 and a Median of $252,192, it seems these higher prices are here to stay across Washington and Benton Counties.
What it all Means for You
These market forces continue to push prices higher and higher across our region. Understandably, many potential home sellers have decided to stay put because they don’t think they’ll be able to find their next home with so few on the market.
Now, typically you would assume this is great news for home builders. And it is, because they’ve seen a lot of sales coming their way lately. However, lumber prices have skyrocketed over the last several months. That along with higher land prices has forced many builders into charging higher prices to keep their margins safe.
If you’ve been thinking of selling your home, right now is a historically good time to do so. You’ll sell quickly with a high price. But then you run into the problem of finding your next place. And that’s the big issue, the main problem to solve this year.
Remember the “Hidden Homes” Move-Up Program!
The single biggest problem with Real Estate over the last year has been a lack on homes in the market. So many people would love to move into a new home that better suits their needs, but they’re afraid to sell their current home. It’s tough to make that transition if you don’t know what else you’re going to move into.
For this reason, I’ve put together a program to find “Hidden Inventory, Off Market Homes” for my clients.
This is my #1 Strategy to get you and your family out of your current home and into your dream home. Let’s see what we can find together!
Just click here to learn all about the “Hidden Homes” Move-Up Program!