Busy market shows slight easing for fall
The real estate market has been robust and resilient this year. After experiencing spring’s lockdowns when restrictions were lifted we then saw buyers picking back up with their searches with sellers trailing to list their homes for sale. Mortgage rates have remained extremely low where activity continues to be powered as we watch home prices steadily increase throughout summer and into early fall.
Once the early part of November arrived both buyers and sellers took a break while coronavirus cases increased and the presidential election was upon us according to a report from Realtor.com. The number of new listings slowed while the total number of homes for sale also saw a slight decline with inventory below where it was in 2019 at this time. This void of available homes is causing buyers to continue to compete with others for their offers. Per the report, this year homes were spending on average 13 fewer days on the market than a year ago at this time.
As far as home values go, listing prices have shown a steady pattern of increases by nearly 13% over last year. Danielle Hale, Realtor.com’s chief economist states “With mortgage rates expected to rise on news of a likely vaccine, buyers may have reason to jump back in and find a home sooner rather than later, but sellers may be more inclined to stay on hold. Thus, even as overall activity slows, we may very well see continued price growth and quick sales.”
Like many things the 2020 real estate market has been anything but typical with respect to any kind of traditional market patterns. In many areas we do often see normal slowdowns as fall hits around the holidays. This lull in the market, although perhaps a bit early this year, is often the case in many market segments across the country at this time. Typically things will ten resume to a faster pace after the first of the year which is just around the corner.