Are you thinking about purchasing a home, and taking advantage of the low interest rates and the buyer’s market? Bad news. That “buyer’s market” ship may have sailed.
When you are thinking about buying you are likely in one of these four scenarios:
1. You are renting, and you have scrimped and saved for a down payment on a property.
2. You own a property currently, and you want to sell it for a profit [Contact Me!] and purchase another one utilizing the equity from the sale of your current property and some money you have saved.
3. You own a property currently, and you owe more than it is worth so you have decided to become a reluctant landlord or sell it [Contact Me!] for a loss bringing funds to the closing table (hopefully not a lot of funds). And then purchase another property.
4. You want to buy but own a property currently that is worth less than you could sell it for, so you have decided to stay put until home values increase enough to sell.
Congrats if you fall into condition #1, #2, or #3!!! But I have some bad news, most people are still in condition #4. And that fact is affecting everyone who is wanting to buy. Inventory is extremely low because people are staying put. Frankly, most people just can’t stomach condition #3. Therefore inventory is in short supply and it is definitely NOT meeting demand. And particularly in Northern Virginia it has become a seller’s market and home prices are steadily (albeit slowly) increasing. In fact, I just won a multiple offer situation (5 offers) for one of my buyer clients, and the home was listed just above recent comparables.
I personally do not see the supply increasing much over the summer. Expect it to remain a seller’s market in the Northern Virginia real estate market. Feel free to contact me and I can give you the information you need to make a logical decision on buying. It’s possible the ship has NOT sailed for your situation, but remember if you choose to buy…it’s an aggressive market. Be prepared for that. Here is last month’s report on the market…