Analysts have yet to decide if this year’s real estate market will pan out in favor of buyers or sellers
—
After a four-year upward trend, home sales across the United States have taken a downturn. According to a recent report from the real estate industry, the number of existing homes sold fell from approximately 5.5 million in 2017 to just over 5.3 million in 2018. While the overall totals for this year remain uncertain, some analysts are predicting a similar outcome once all is said and done. Based on the factors driving this development, a number of experts are saying the current market may not pan out in favor of buyers or sellers.
From the Seller’s Perspective
While existing home sales are down overall, not all segments of the market are seeing the same trends. Those in certain areas of the country are actually holding steady and even rising slowly in some cases. Sales in the western portion of the United States are currently seeing the highest level of growth.
Interest rates appear to be the primary factor discouraging a number of would-be buyers from taking the plunge. Despite a significant reduction from last year until now, previous upticks are leaving prospects a bit leery of historical repeats. Uneasiness over economic discord is also prompting buyers to hold out for brighter days.
At the same time, sellers seem to be falling short of buyers’ expectations. Those in the market for a home are primarily looking for new builds rather than previously owned units. This leaves many sellers turning to companies like SellHouseFast\.com to fill the position of the buyer.
From the Buyer’s Standpoint
As previously mentioned, the majority of buyers are in the market for new builds right now. This segment of the market is in the midst of a significant shortage. Developers are pulling back the reigns due to rising material, labor and land costs.
Home prices are reaching recent highs as well. For the last two years, values skyrocketed. Though the surge has slowed considerably so far this year, it is certainly still on the rise, leaving a number of hopeful homeowners unable to afford to take on a new mortgage. In short, homes are out there to be bought, but the right people aren’t buying.
Inventory is abundant on the luxury side of the spectrum after developers hoping to cash in on this segment of the industry flooded the market in previous years. With high-end home prices swelling out of control, even multimillionaires interested in these homes in some of the nation’s most in-demand areas are opting out.
Finding Solutions
For the most part, buyers and sellers alike have few options other than waiting to see if market conditions take a different turn. Of course, for those who need to get out from under the home they currently own, this may not be an option. Certain authorities on the matter are quick to point out changes in the market may not be positive considering the bleak outlook some are predicting.
Market analysts and real estate experts are collectively saying, “If you’re looking to get a cash offer for your house quickly, you’ll need to step outside the traditional real estate market. Those in the market for new builds and high-end homes may have to either lower their expectations or up their antes.”
Overall
Though the real estate market varies widely on a local scale, home sales are down nationally. New builds are in short supply and existing homes are in low demand. With home prices rising and interest rates on a precarious path, both buyers and sellers may have to step outside the box during the months to come.
Contact Info:
Name: SellHouseFast.com
Email: Send Email
Organization: SellHouseFast.com
Website: https://sellhousefast.com/
Source URL: https://marketersmedia.com/national-home-sales-slide-following-four-year-upward-trend/88914338
Source: MarketersMEDIA
Release ID: 88914338
