Low supply of housing sells homes FAST!
We’ve all heard of supply and demand! The greater the supply, the less of the demand and vise versa, the lower the supply, the higher the demand. In San Diego, we currently have low supply and and high demand.
An average supply of homes in San Diego is roughly 20,000 homes on the market county wide. Today, we have less than 5,000. With interest rates being a historic low, the demand is also at a high so homes are flying off the market as long as they are priced well and in decent shape. This is very important to take into consideration as a buyer and seller. As a buyer, you are competing with a lot more buyers fort the same home. The average well priced home, under $500,000, will have 2-3 offers within days of being on the market. The days of low ball offers is over for now. 90% of homes are selling at or above asking price.
This is important for seller because if you are considering selling, it is a great time. As long as your pricing with the market and your home is in decent shape, you should have no problem, selling it. Consult with your Realtor, Jeff Discher, as to the pricing and necessary repairs that will net you top dollar. It is better to price your home well when first listing, then to try and list high and reducing later. Buyers will thing something is wrong with our home and offer less based on that.
Lawrence Yun, NAR chief economist, said there is a clear relationship between inventory supply and time on market. “As inventory has tightened, homes have been selling more quickly,” he said. “A notable shortening of time on market began this spring, and this has created a general balance between home buyers and sellers in much of the country. This equilibrium is supporting sustained price growth, and homes that are correctly priced tend to sell quickly, while those that aren’t often languish on the market.”
If you are considering buying or selling, please call me today so we can start educating you on the market and preparing your home to sell, or as a buyer, preparing a strategy to make sure you get the home you want and the best terms possible.