We are definitely in a seller’s market. Fewer homes on the market combined with great interest rates mean bidding wars for desirable homes. If you’ve been considering listing your property, here are some of the reasons that make NOW the right time to sell:
¦ Prices are on the rise. In Charlotte County the median sales price for single-family homes as of May 2021 was $320,035, up 35.1% from last year.
¦ Properties are selling. At the end of May this year, closed sales of single-family homes countywide were up 72.1% over May a year ago. Closed sales year-to-date are 2,695, a 42.9% increase over last year. March 2021 boasts the most sales thus far, at 656 homes closed in one month.
¦ And selling faster. The median time for a single-family home to go from listing on the MLS to an executed contract was nine days, a 78.6% change over last year.
¦ Interest rates are great. As of press time for this article, the average rate for a 30-year fixed mortgage was 3.02%.
¦ Inventory is down. In May 2021, there was 0.7 months supply of inventory for single family homes, condos and townhomes. We consider 5.5 months of inventory to reflect a stable market; higher inventory is considered a buyer’s market, and lower inventory a seller’s market.
¦ Showings are up. More buyers are competing for the same home. Prepare yourself, your home and your pets to allow for multiple showings.
Best bets for buyers
If you’re in the market to buy, you should gear up for a bidding war. Here are some things to consider prior to submitting an offer:
¦ Insist on agent-to-agent communication. Make sure your agent is in communication with the listing agent. Communication during negotiations is imperative to ensure you are aware of seller requests and/or counter offers.
¦ Consider cash. Cash transactions can close quickly with no required appraisal or lender timelines.
¦ Put some down. A high escrow deposit will let the seller know you are very serious and not afraid to put up $$$.
¦ Rethink contingencies. Many buyers are waiving contingencies such as a home inspection and an appraisal. If you’re financing, it’s up to the lender to waive contingencies like appraisals, for example.
¦ Remain flexible. Be willing to work on the closing date or to give the seller a few extra days to vacate the property. Maybe even offer a leaseback.
Remember: The purchase price is not always the winner; contract terms can also be very attractive to the seller.
¦ Shorten some timelines. Tighten deadlines on inspection periods, appraisals and surveys.
¦ Stay calm. Be patient. Don’t get emotional. Don’t get discouraged.
¦ And perhaps most important of all: Whether you are buying or selling, align yourself with a knowledgeable, trusted real estate professional. ¦