If you ask most people when the best time to sell a home is, most will say springtime. More homes sell in the spring so people automatically think it must be the best time to sell. However, because everyone’s thinking the same thing, the market can flood with homes for sale in the Spring.
This year the market never did flood with listings because there were too many buyers buying. Each week the Red Deer market sales and listing comparison report showed more properties selling each week than there were homes being listed.
This has caused our local real estate market’s inventory to go lower each month. And with demand up and supply low homes are selling quickly and prices are still nudging upward.
Currently, there just aren’t enough homes on the market to satisfy all the buyers. It’s a rare occasion when a market hits the perfect state for selling but right now in Red Deer, it’s happening.
- Inventory is lower than it’s been in over a decade.
- Interest rates are still relatively low.
- The 12 month running price average continues to increase.
- And, because of #2 and #3, home sales are high but not as high as if there were more homes available for sale!
Why is right now a better time to sell than in a couple of months?
We could see the “seller’s market” continue for a while with buyers still rushing to pre-qualified for a mortgage before interest rates increase more. The upward pressure on prices that sellers are benefiting from will subside when inventory balances later this year. And Interest rates will likely increase more slowing buying activity and softening the market.
This year we haven’t witnessed the flood of listings we often see in the spring because there’s been pent-up demand. If the flooding happened we didn’t see it because homes are flying off the market. With not enough properties for sale, there are still a lot of buyers searching and waiting. And many have lower interest rates in place being pre-qualified prior to increases. If you’re planning to buy this year get pre-qualified now!
For sellers, the spring market has been exceptional and rapid sales will continue for at least a few more months. Right now, without a doubt, the current market is perfect for selling.