The Doorway To All Your Real Estate Needs
S&E_RC_WINNER_logo_2021_updated

Buy or Sell a Home with Real Estate Exchange

What to Expect In the Summer Housing Market

July 14, 2021 | Real Estate Exchange
Home > > What to Expect In the Summer Housing Market

Why This Isn’t Your Typical Summer Housing Market

In real estate, it’s normal to see ebbs and flows in the housing market. Typically, the summer months are slower-paced than the traditionally busy spring. But this isn’t a typical summer. As the economy rebounds and life is returning to normal, the real estate market is expected to have an unusually strong summer season.

Why This Isn’t Your Typical Summer Housing Market | MyKCM

Here’s how this summer is stacking up against the norm and what it means for you.

Inventory is increasing.

Why This Isn’t Your Typical Summer Housing Market | MyKCM

According to the latest Existing Home Sales Report from the National Association of Realtors (NAR), inventory levels have been rising since February of this year. Looking at the graph below, there’s a clear upward trend, as shown in the green bars. Currently, there’s roughly a 2.5 months’ supply of homes for sale. And while inventory is trending up as more houses are coming to the market, it’s still much lower than several of the previous summers, as the orange bars indicate. If you’re looking to buy, some relief is on the way in the form of more homes coming to the housing market. Just remember, we still have less inventory than the norm, so be patient in your search.

If you’re thinking of selling, now is the time. Work with your agent to list your house before it has more competition on the market.

Time on the market is still shorter than normal.

Why This Isn’t Your Typical Summer Housing Market | MyKCM

Unlike the typical summer trend, time on the housing market is moving at the fastest speed we’ve seen since NAR started collecting this survey-based information in 2011. The most recent Realtors Confidence Index shows that the average home is on the market for just 17 days, as shown in green in the graph below. This means houses are selling at a much faster pace than a typical summer, which the orange bars represent. If you’re looking to buy, this means you need to be prepared to move fast. Brace for a quick pace and rely on your agent to stay in the know on the available homes in your area.

If you’re thinking of selling, data shows your house will likely sell quickly. If you’re worried about where you’ll go once your house sells, consider a newly built home as a good way to move up.

Price appreciation is still rising.

Why This Isn’t Your Typical Summer Housing Market | MyKCM

The last big factor making this an unusually strong market this summer is home price appreciation. According to the State House Price Index from the Federal Housing Finance Agency (FHFA), we’re currently experiencing double-digit house price appreciation and have an average of 12.6% appreciation across the country. The graph below uses data from NAR to show a more granular view of how prices have changed month-to-month over the past few years. The green bars show the current price appreciation we’re experiencing today. Our current levels are well above what we’ve seen in recent summers, shown by the orange bars. If you’re looking to buy, competition and bidding wars are driving prices up. Getting pre-approved can show the seller you’re serious and help you know what you can afford. Once you do, work with your agent to make a strong offer that stands out.

If you’re thinking of selling, seize this opportunity to use your additional equity from this price appreciation to power your next move.

Bottom Line

This isn’t a typical summer. Whether you’re buying or selling, let’s connect to talk about how you can capitalize on today’s market conditions to sell your house or find your dream home.

If you’re a Massachusetts or New Hampshire resident and are in need of real estate advice, send our team a message today. We’d love to help you buy or sell a home! For a free home value report, visit realestateexchange123.com/home_value.

The Real Estate Exchange, The Doorway to All Your Real Estate Needs

joanne-500x480-c-center
JoAnne Hamberg, Broker

Have a Question? Contact Us

Representing both buyers and sellers, we have helped broker the sale of all manner of homes including mobile homes and residential real estate. Let us know how we can help you.

Contact Real Estate Exchange

  • This field is for validation purposes and should be left unchanged.

The Law Office of
David R. Rocheford, Jr., P.C.

(978) 847-010
156 Hamilton Street, Leominster, MA 0145
www.thebestclosings.com

Visit Website

D&D Waste Removal

(978) 342-6893
72 Jackson Road, Fitchburg, MA 01420
www.danddwasteremoval.com

Visit Website

Twin City Fuel

978-627-4315
323 Princeton Road, Fitchburg, MA 01420
www.twincityfuel.com

Visit Website

City Line Paving

(978) 343-6256
39 Garland Street, Fitchburg, MA 01420
www.citylinepaving.com

Visit Website