Why You Should Start Your Home Search Today
You probably have a lot of considerations running through your head if you're thinking about purchasing a home. You're trying to decide whether now is the right time for you to enter the market by taking into account your own needs, higher mortgage rates, and today's housing prices. Some buyers may choose to wait things out, but there are compelling reasons why others choose to buy now—namely, an increase in available homes on the market
So far this year, the number of houses available have increased, making it less daunting to find your dream home. Of course, there are always reasons you could delay making a large decision like this; but conversely, there are also reasons to consider moving forward. With more options for homes on the market–more than ever before–you may feel ready and confident finally make your move.
What’s Causing Housing Inventory To Grow?
As more data becomes available, we are getting a clearer picture of why housing supply is increasing so much this year. As Bill McBride, Author of Calculated Risk, explains:
“We are seeing a significant change in inventory, but no pickup in new listings. Most of the increase in inventory so far has been due to softer demand - likely because of higher mortgage rates.”
In other words, the bulk of the inventory growth is due to homes staying on the market for a longer time (known as active listings). And that's because elevated mortgage rates and home prices have helped temper the buyer rush.
The graph below was created using data from realtor.com to show the amount of active listings that have increased in the last five months (green):
Why This Growth Is Good News for You
Whatever its source, the rise in available housing supply is beneficial to buyers. More housing supply on the market means you'll have more alternatives when looking for your next home. According to a recent article from realtor.com, inventory growth has been "remarkably significant." It's great news for your plans to buy because:
“Nationally, the inventory of homes actively for sale on a typical day in July increased by 30.7% over the past year, the largest increase in inventory in the data history and higher than last month’s growth rate of 18.7% which was itself record-breaking. This amounted to 176,000 more homes actively for sale on a typical day in July compared to the previous year and more choice for buyers who are still looking for a new home.”
This year's growth in the housing market is great news for you, especially if you've had trouble finding a home that meets your needs. If you start looking today, there should be more options available to you than there have been in the past two years.
If you’re ready to jump into the market and take advantage of the increasing supply of homes for sale, connect with The Perreault Group today. The opportunity is knocking, will you answer?