Surprising though it is, in a country wracked by the Corona virus, 2020 has been an amazing year in real estate. U.S. median home prices rose some 14% year-over-year. “To our surprise, the housing market not only recovered “(from the initial lockdowns in March/April),”but roared past pre-pandemic levels,” according to Lawrence Yun, chief economist at the National Association of Realtors. Yun believes home prices will continue to climb in 2021, but at a more moderate pace. In addition, he predicts mortgage rates will remain favorable, staying at near-historic lows of 3% on average, which will help first-time buyers get into the market.
Why does it make sense to list your home for sale today? Let me count the ways:
- Lower inventory during the winter months equals less competition on the market, and an ideal time to sell your home.
- Winter brings out the serious buyers. Buyers looking for homes in January and February are looking to make a purchase. They don’t want to take the chance of waiting until spring and then losing out on a home.
- Year-end financial bonuses and payouts could mean more people have more money to spend on a home.
- Corporate relocation. Two of the biggest months for corporate relocations are January and February, meaning relocation buyers are out in full force.
- Historically low interest rates. Today’s mortgage interest rates are at 40-year lows, which is a double blessing – buyers have more spending power, and so will you when you begin shopping for your next home.
- Covid-related housing needs. Many individuals and families working and learning at home since the pandemic began, are realizing their current homes may not provide what they need going forward. Many desire homes with private offices, space for an in-home gym, a theater room, and larger outdoor spaces. This means more people will be looking for homes that fit these needs.
- More advertising. Many agents will devote more creative attention to your needs during the winter months because they typically have fewer clients to manage.
- Timing. Putting your home on the market now may mean you’ll receive higher offers and multiple offers than you would if you wait until spring/summer when there are more homes on the market for buyers to choose from.
In closing, if I may appropriate a song from my youth, “If you want to be happy for the rest of your life/please take my advice/put your house on the market today/and I will make them pay/top dollar for your home/so you can jet off to Rome.” There are many more verses, but why spoil you?