Houston Tx, We have a SELLER’S MARKET
When our inventory of homes goes below 3 months, it’s a SELLERS market. We are currently at 1.4 months of inventory.
This means the seller calls the shots. * In our Houston market we are seeing many homes with multiple offers and some of those offers are CRAZY! In a multiple offer situation, the seller gets to pick who they work with. There are a number of factors that play a role in an offer and all of those are negotiable items.
As a buyer coming into this market you have to know what to expect.
BUT WHY?
People are moving to Houston
People are moving to Texas from different states and a few other countries as well. They are selling high and willing to pay cash (25% of buyers) or willing to offer more due to their markets being more expensive. Or just because they can. As a buyer in this market you must come prepared and ready to give your best.
Interest rates hit lowest point in over 30 years
In 2020 interest rates ht the lowest point in over 30 years. This prompted many buyers that were on the fence to buy. Rates have been fluctuating since but they are still very low.
Lack of Inventory
Even before COVID Texas already had a shortage of homes coming to the market. In the past 10 years, the 3 mayor metropolitan areas in Texas, have seen less than 6 months of inventory which indicates a balanced market. *Our market here in Houston currently has 1.4 MONTHS OF INVENTORY! That means we have a large demand and not a lot of houses to sell.
Pandemic changing people’s habits and lifestyles.
Last but not least, WE have changed the way we live and the spaces we need to work from home, study from home, vacation at home, etc. More outdoor space, more office space, more space period.
Prices have gone UP
As we see inventory disappear in only a couple of days with multiple offers way over asking price, cash offers and all kinds of waivers on offers. This is resulting in prices going up at a crazy rate.
Are you still thinking about SELLING your home?
If you have any questions about the information provided here, or any other real estate questions I will be more than happy to answer those for you.
If you want to know how much your home is worth today, and if it would make sense to sell, I will be more than happy to have a non obligation consultation with you.
At the end of this week I will be able to offer a product that will make it super easy for my sellers to purchase a home before they sell! Game changer for sure.
If you are looking to purchase in today’s market, I will be more than happy to have a sit down conversation to set the right expectations for this market as a buyer.
- *Information from Houston Association of Realtors.