The price of any
item is determined by the supply of that item, as well as market demand. The National Association of REALTORS (NAR) surveys “over 50,000 real estate practitioners about their
expectations for home sales, prices and market conditions” for
their monthly REALTORSConfidence Index.
Their latest edition sheds
some light on the relationship between Seller Traffic (supply) and Buyer
Traffic (demand).
Buyer Demand
The map below was created
after asking the question: “How would you rate buyer traffic in
your area?”
The darker the
blue, the stronger the demand for homes in that area. Only four states had a
‘stable’ demand level.
Seller Supply
The index also asked: “How would you rate seller traffic in your area?”
As you can see from the map
below, 25 states reported ‘weak’ seller traffic, 21 states reported ‘stable’
seller traffic, 3 states and Washington D.C. reported ‘strong’ seller traffic,
and only 1 state reported ‘very strong’ seller traffic. This means there are
far fewer homes on the market than what is needed to satisfy the buyers who are
out looking for their dream homes.
Bottom Line
Looking at the maps above, it
is not hard to see why prices are appreciating in many areas of the country. Until the
supply of homes for sale starts to meet buyer demand, prices will continue to
increase.
If you are debating listing your home for sale, let’s get together to help you capitalize on the demand in the market
now! 971.208.5093 or mcleodgroupoffice@gmail.com.
By: KCM Crew
No comments:
Post a Comment