Here are four main reasons why the real estate market is crazy right now.
Why is the real estate market so crazy right now? Here are four main reasons:
1. Low inventory. There aren’t many homes for sale, but buyer demand is very high. Much of this is being driven by interest rates; these days, you can get a rate anywhere between the high 2s and low 3s.
2. Timelines. Tons of people who were considering selling in a few months or a year from now are moving their timelines up. Plenty of people are working from home, so whereas that two-bedroom may have worked before, now they might need more space.
There aren’t many homes for sale, but buyer demand is very high.
3. Geography. Again, since people are working from home, where they live may change. Your job may be in California, but since you can work from anywhere, people are moving to places like Phoenix, Las Vegas, or other areas where they’ve always wanted to live.
4. Skipping a home. Often, people begin with a starter home, then move two or three times before getting their dream home. Many of the things mentioned above are causing people to skip that second or third house and make the final move into their dream home now.
If you have any questions about the market or real estate in general, please reach out via phone or email. I look forward to hearing from you soon.