Have you heard from clients who want to delay listing their home until the season begins? Because sales and prices tend to peak in the spring and summer, it’s a common request in many markets.
However, this year is different. Jonathan Smoke, realtor.com®’s chief economist, stresses in his latest column that the conventional wisdom isn’t correct this winter.
Here’s why: At the beginning of 2017, inventory levels plunged to multiyear lows. Sellers are currently facing very little competition, he says.
Mixed with that, buyer demand is “abnormally strong for the off-season,” Smoke writes. “The climb in mortgage rates that started in October and accelerated in November and December has created a sense of urgency among buyers.”
With interest rates largely forecasted to move higher this year, buyers are more in a rush to lock in a low rate sooner. Plus, your sellers may have to worry about lending rates as well; Smoke estimates that 85 percent of sellers are planning to buy another home after they sell.
So here’s the best tip for your sellers, Smoke says: “If you are thinking of selling and buying in 2017, the early bird may get the worm. And the best new nest.”