Here's a quick national update for July of 2021.
The biggest questions in today's market are:
- Will inventory go up anytime soon?
- And will we experience another housing bubble like 2008?
We know it feels like the wild, wild west out there when trying to buy a home.
Hi, I'm Tami Savage with eXp Realty.
Ivy Zelman from the Z Report says, “This month our broker contacts report a continuation of robust demand and intense competition from buyers to ‘win' houses, with bidding wars, all-cash offers, waived contingencies, and rent-free leasebacks increasingly common in many markets.”
So much is happening across the country in real estate right now, but the biggest story certainly is the lack of available inventory!
The reason: quite simply, we just don't have enough houses for sale to meet today's demands in our market.
We're still seeing bidding wars, which is causing buyer fatigue for those that keep getting outbid, usually by those all cash offers.
Soaring prices of lumber has slowed construction down across the nation as well.
Robert Dietz of the National Association of Homebuilders says, “The decline in single-family permits indicates that builders are slowing construction activity as costs rise.
While housing starts were strong at the beginning of the year due to the home builder constructing homes that were sold pre-construction, higher costs and limited availability of building materials have now paused some projects.”
This has hurt housing supply while the demand still remains high.
The good news for supply and demand in the housing industry, specifically new construction, is lumber prices have dropped significantly in June, as reported by CNBC.
We don't want this to discourage you from going out and buying a home this summer.
Homeownership is very important! It gives you the ability to build wealth through equity, as well as many other benefits.
Gallup's polls show that 41% of Americans still believe that Real Estate is the best long-term investment for the past 11 years.
We expect prices to continue to grow. So if you're thinking about buying, do it now.
I'm always here to help and keep you informed, so give me a call and we can help you navigate today's market.
I'm Tami Savage with eXp Realty, Your Key to a New Lifestyle.
Thanks so much for watching, and make it a great day.