Thinking about selling your home? Now’s the time! As a homeowner in Southern California you’re perfectly positioned to sell your home with ease. In this two part series we outline what makes selling right now such a good idea. Be sure to check back next week for more reasons to sell.
Low inventory
Right now the real estate industry is experiencing historically low inventory, making it the perfect market for homesellers. When inventory is low, homeowners are more likely to receive offers that closely match or are higher than the listing price. Additionally, homes move a lot quicker when inventory is low. It’s not uncommon for homes to sell within days or just a few short weeks after they are put on the market.
Low mortgage rates
Although there was a lot of talk about The Federal Reserve raising interest rates, mortgage rates are going down again. This is good news for both homebuyers and sellers. With lower mortgage rates, homebuyers have lower monthly payments, which makes buying a home more appealing. For buyers on the fence, a low mortgage rate can be the difference between staying in their rental property and buying their first home.
Rising rents
Speaking of rental properties, rents are on the rise in California. According to www.apartmentlist.com, hikes throughout the state exceeded the national average every month during 2015.
San Francisco is the state’s most expensive rental marketplace, with the cost of a typical two-bedroom apartment costing more than $4,600 a month. The San Diego County Apartment Association says a two-bedroom unit in San Diego goes for just over $1,600 a month.
With rates like those, more and more renters are determined build equity in a home rather than continue forking over rent payments they’ll never recoup. Real estate professionals connect with these potential buyers regularly, so it’s a good idea to start working with an agent who knows who’s ready to purchase.
Hot California market
“The California real estate market pulse has a good beat,” according to the California Association of REALTORS®. Its Market Pulse Survey is a monthly online poll of more than 300 California REALTORS® that measures data about their last closed transaction and sentiment about business activity in their market area. In February’s survey, respondents reported an increase in floor calls, listing appointments/client presentations, open house traffic, and auctions, indicating improved market conditions leading into the traditional spring/summer homebuying season. Floor calls were at the second-highest levels in the survey’s history. Listing appointments and client presentations also were reported to be near peak levels. Open house traffic hit the peak again in February at 77, which has not been reached since March 2015.
Despite their concerns about low housing inventory, declining housing affordability, and high prices, REALTORS® remained mostly optimistic about this year’s housing market, with the vast majority expecting similar or better market conditions in 2016.
What does that mean to you? Real estate agents are eager to help you sell, so it doesn’t hurt to talk to one now about listing your home.
Still not convinced? Check out Part 2 for even more reasons why now is the perfect time to list your home.
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Rising rents
Hi! I would love a blog like this! Can you help me? I’m with Berkshire down in the panhandle of Florida.