Each month the Realtor Association of York and Adams Counties releases a Market Update and I can never wait to get my hands on it. As informed consumers, these stats give us an idea of what the real estate market is actually doing, and when we understand the market it makes us more empowered buyers or sellers.
First, let’s start with what it is that we mean when we say ‘real estate market’. Essentially we are just talking about all properties available for sale in any given area. For example, all properties for sale in York City could be referred to as the York City real estate market. Economic forces in a given area can cause an increase (or a decrease) in the supply of properties. That change is what determines the type of market we see and most times it’s referred to as a buyer’s or seller’s market.
If the supply of homes doesn’t meet the demand from buyers, you’re in a seller’s market. Home prices tend to go up as buyers compete for the few options that are available. In this type of market, you typically see fewer seller concessions as they may receive multiple offers on their home. Also, homes tend to stay on the market for a shorter amount of time, making it easier for sellers to close and move on.
The August Market Update reports a seller’s market. Sellers are still receiving 100% of the list price, days on market is still a remarkable 8 days and our average sales price continues to rise, 11% higher than last August.
So what does this type of market mean? If you’re a seller you’re still going to want to make your home appealing to buyers. Just because it is a ‘hot’ market doesn’t mean buyers won’t notice a lack of attention to detail and will wonder what else has been neglected. You may be able to price your home on the high side, but it’s important to check comparable properties in your area to ensure you’re not asking for too much. If you price your home too high, it may not sell right away. When homes don’t sell quickly, buyers assume something is wrong with the home. If you are a buyer, being preapproved so that you are ready to make an offer when you find the one is the most important thing you can do. You won’t have days to sleep on your decision and you will need to move quickly.
If you’ve been on the fence about whether it’s the right time to buy or sell, let’s have a conversation. My team and I want to make sure you know all of your options so that you feel comfortable about making the decision. We’re here for you every step of the way and we look forward to earning your business one day soon. Stay well friends.
