Posted On: June 8th, 2021 10:16PM
I want to thank the 12 clients who have helped us start 2021 with a bang by purchasing a home from us. Some of these buyers have not had an easy time finding a home to buy with limited inventory but we found what they were looking for. One of the difficult decisions a home seller has to make is when to put their home on the market, not knowing if/when they can find a home to move into. My real answer is work with a realtor who has knowledge of the market and has a good relationship with other realtors because in today’s market it is all about relationships and loyalty.
Prospective homebuyers should not expect bidding wars to go away or for prices to dip in 2021, according to my good friend Catherine Reagor of The Arizona Republic. According to Catherine, home sales hit a fourth-quarter high in 2020 and the shortage of houses for sale is near a 10-year high. Demand for homes is 31 percent above normal and supply is 71 percent below normal, according to Tina Tamboer from the Cromford Report, who spoke at my monthly meeting in January. Tina also said we cannot even start discussing prices going down until supply and demand are back in balance.
How does knowing that our supply of homes is very low work for a prospective buyer? It really comes down to a little bit of luck but most of all working with a realtor who has contacts in the particular area you want move to and spends a lot of money on advertising in a particular neighborhood. Let me give you an example of how this works. I went on a listing appointment in early December and the seller told me when he wanted to list his home and for how much.
My wife, Mary Ann, who is now a licensed realtor, told me she had a buyer who was looking for a home which just happened to describe the home that I was getting ready to list. As soon as I listed that home, we sold it to that buyer in 20 minutes for full price and both the seller and the buyer were thrilled with the results.
I listed 130 homes in 2020 and we sold 18 homes before they actually hit the market because we also had a buyer who fit the profile of the home we were getting ready to list. We also have sold five of our listings to buyers in 2021 before the homes went active. Please give me a call when you are ready to list your home and/or you are looking to purchase a home and we will do our best. My wife is much nicer than me so you now have two choices when you want to work with our team!!
Please stay safe!!