Will the market tank heading into fall? When will the bubble burst? With what we've seen thus far in 2021, it's natural to question if a bigger shift is coming. Let's take a closer look at recent trends to better understand what's happening in our market.
Dallas-Fort Worth by the numbers:
As you see, nothing too drastic at a glance. Digging in a bit deeper, there are a few noteworthy takeaways to discuss.
New sellers on the market are down slightly, and inventory is flattening out. Given the last 18 months, it’s easy to see this and grow suspicious. Looking past a simple year-over-year comparison, we see a general similarity to the years prior to 2020, which show a gradual decline in activity in the fall. Furthermore, while new sellers on the market are slightly down compared to recent months, the weekly averages of new sellers coming on the market remain well above what we saw this spring when the shortage was at its peak.
Another thing to consider when looking at new sellers on the market: a combination of quick sales and off-market sales means that reporting may not be catching all of the activity we’re seeing. While we don’t have a crystal ball, the trends show more of a typical seasonal slow down at this point.
Next, we saw a noteworthy spike in home sales in mid-September. What happened? When looking at home sales, we have to look 30 days back to understand what was happening when the transactions were going under contract. A month ago, school was starting, giving many parents more free time to do things such as tour homes. We normally see a similar trend correlating with the start of school, yet last year we missed this spike because, for many, there was no back to school.
Given that we’re seeing similarities to fall markets of the past, what makes fall a great time to be active in the market?
For sellers, in the fall you typically find fewer “lookie-loos,” or people browsing homes for fun, leaving a pool of buyers that is slightly smaller, yet more serious and better qualified. For some, this can offer a more direct path to finding the right match, especially if the property is priced competitively. Bottom line — don’t give up hope if summer wasn’t the right time for you to go on the market.
For buyers, keep an eye on homes that have been on the market for a while or have recent price reductions. As we’ve mentioned in months past, the trends from this spring led many sellers to test the market at a higher price point during peak selling season, and then reduce the asking price over time to align with the market. Great homes that are priced competitively are still selling quickly and often with multiple offers, so savvy buyers are keeping an eye out for opportunities with less competition.
If you have any questions about the market or are considering selling or buying, we’re here to help! Simply fill out the form below or give us a call at 214-267-9222 today!