This is why your mindset is everything in the current housing market.
As you know, inventory is historically low. There has been some increase over the past couple of weeks because we’ve hit the spring market, which is when we typically see 5% to 7% more homes on the market than usual. Still, that inventory isn’t lasting long enough to make a real impact. Homes are selling very quickly; the average days on market for homes under $1.5 million is between 14 and 20 days (and many times even less). In the luxury market above $1.5 million, homes are taking a bit longer to sell, but if they’re priced right and look good, they typically sell within 30 to 45 days.
Since homes are selling so quickly, buyers won’t see the relief they’re looking for until a lot more homes hit the market. We don’t anticipate that happening in 2021, meaning we can expect a strong seller’s market for the foreseeable future. Demand for homes is higher than ever.
Interest rates have been fluctuating; they’re currently hovering around 3%, and some buyers are still able to lock in rates in the 2s. It all depends on your financial situation, credit, and the type of loan you’re getting. If you’d like more information about interest rates, we can connect you to some of the best lenders in Orange County.
For those who are thinking about selling, I encourage you to revisit the video I made a few weeks ago about the importance of home preparation. Many sellers are eliminating that portion of the process because they think that since the market is hot, they can just list their homes and they’ll automatically sell. However, I believe that home preparation is grossly underrated. If you’re looking to sell for the very best price, now is the time to leverage home preparation, staging, and design to maximize your outcome.
For buyers, holding the right mindset is everything. The difference between those who are successful and those who are less so is the commitment to winning. Right now, buyers have to have the killer instinct to win at all costs, especially if they want to buy a property that fits all their criteria. I’ve made dozens of videos about tips to help buyers win, so be sure to review my blog or YouTube channel to learn what it takes to write a winning offer.
You need to trust your agent and follow their advice if you want to get the job done. Though there are many safety nets within a transaction to protect you, you’ll still need to go outside your comfort zone if you want to win the property you love.
Whether you’re buying or selling, if you have any questions at all, don’t hesitate to reach out to me. I’d love to help you.