Before we jump into this month's market update, we want to extend a helping hand to anyone in need of assistance following the recent storm here in Texas. If you or someone you know needs referrals to contractors or service providers, we would be happy to help you get connected.
Let’s start this month’s market update by taking a look at the numbers at a high level:
Looking back at 2020, we saw a year-over-year increase in contracts written of 16%, building upon what was already a record year for real estate here in North Texas. In January, we saw an increase of 19% in contracts written compared to last year, continuing last year’s trend.
The other key metric to follow is the number of new sellers hitting the market. In 2020, we saw a year-over-year decrease of 10% in new listings. Moving into 2021, 22% fewer new sellers hit the market this January compared to last year.
What should we take away from this?
For Home Buyers:
First, buyer confidence remains high. Interest rates are still low but inching back up, and the combination of lifestyle change and relocation continues to be drivers for increased buyer activity. The challenge is, there are disproportionately more buyers out there than sellers right now, and the shortage of homes hitting the market is creating increased competition.
We encourage buyers to do the following:
- Act decisively when you find a home that meets your needs. If you love it, odds are someone else does too.
- Submit a backup offer should you find a home you like that is under contract. In a fast-moving market, it becomes more likely for buyers to go under contract quickly on a home and then reconsider, which can create opportunities for the next buyers in line.
- Keep an open mind. A shortage of inventory doesn’t mean there is no inventory. Consider houses that other buyers might overlook. Remember that flooring and paint can go a long way, and in the end, you can end up getting a great deal on a great house.
- A great real estate team can help find homes that aren’t actively on MLS too.
If you’re a buyer struggling to find success, give us a call at 214-267-9222. Van Poole Properties has a proven track record of helping buyers win in multiple offer situations, and our agents are working hard to find off-market opportunities.
For Home Sellers:
For homeowners considering selling, we’re seeing a new trend emerge. Given the competition and lack of inventory available to buyers, sellers are left to wonder, “where will I go once my home sells?” Timing the sale of your home with the purchase of another can be a challenge in any market, let alone one with more buyers than sellers.
To help sellers overcome this challenge, we’ve created our Cash Purchase Program. Through this program, homeowners can be approved to make a cash offer on a home before ever putting their property on the market. Once you comfortably move into your new home, you can list your old home, and not have to move twice.
If you would like to learn more about our Cash Purchase Program, give us a call at 214-267-9222 and we would be happy to walk you through the process.
As we move forward into 2021, we’ll continue to keep a close eye on the market here in North Texas. Our daily logging and analysis of market data allow us to spot emerging trends in real-time, keeping you ahead of the curve. Happy home selling!