Fewer people are selling their homes
Compared to recent years, fewer people are putting their homes on the market to sell. This year more than before has become a sellers’ market. Inventory is low, and buyers are hungry to buy. Now, why are fewer people selling their homes?
The National Association of Home Builders surveyed homeowners and their reasons for not selling. Their top three answers were:
Homeowners are just happy with their home
Most homeowners like where they live. They have become comfortable with their environment and no need to go elsewhere. Not only that, but they also tend to have a lot of equity in their home, especially if they have been living there for over five years. As a result, they have built wealth and comfort at their home.
People do not want to go through the process (or hassle) of selling their home
Just the thought of putting a house for sale can be daunting. From looking for the right agent to having to arrange the planning of moving. Not to mention, allowing strangers to roam your home till someone makes an offer. And yet, still feeling uncertain whether it will sell or not. It can be a very stressful process if not guided by the right agent. Therefore, homeowners prefer to stay put till they need to sell to avoid a headache.
Properties are expensive for what they have to offer
Home prices have increased and have become more costly to find what buyers want. For a homeowner to sell their home, it often means they also need to buy a house. Also, since fewer people are selling, there are fewer homes out there. As a result, there are not that many options out there to meet a buyer’s criteria.
Given these reasons, we are currently going through a shortage of homes for sale, while more buyers are entering the market. Maybe considering selling your home in this sellers’ market may not be such a bad idea.