Friends and Clients —
If you've been thinking about upgrading to a new home, you'll want to read this email.
As you'll see, current conditions make it an incredible time to sell — as well as to buy a bigger or more luxurious home. Let's look at the details:
1. Enticing mortgage rates
The 30-year fixed mortgage rate recently fell to 3.49%.
This is a drop of 1.5% in the last year alone. It puts current mortgage rates in the neighborhood of record lows that we saw in 2012.
Not surprisingly, many buyers are ready to invest in these attractive conditions. A strong job market is fueling demand even more.
Yet home sales are stagnating. What's going on?
2. Deep housing shortage
The answer is simply the lack of homes on the market.
The number of homes for sale in November was the lowest on record for the month.
In fact, fewer existing homes sold in 2019 than in 2018, and experts say that number will drop further in 2020.
So supply is short, while demand is strong… can you guess what happens in these conditions?
3. Home prices heating up again
Home price growth flattened out last summer, but it's picking up steam again.
The median price for an existing home sold in November was $271,300. That's the highest November price reading since readings began in 1999.
Price growth is strongest for lower-end homes, while higher-end homes have more supply.
You can see now why I say this is a unique moment if you're thinking about upgrading to a new home.
In the current under-supplied market, you can sell your home in record time and for top dollar. You'll find it much easier to buy a new, higher-end home.
If you're curious about your options, I suggest two things. First, check out this home value calculator, based on recent DC Area sales. It will give you an idea of what your home is worth in the current market:
Second, take a look at this complete listing of DC Area homes for sale. Several beautiful and affordable homes recently came on the market. You can find them all here:
Finally, if you'd like to get my in-depth and personal estimate of what you could sell your home for, and how long it might take, give me a call at (703) 963-5500. I'm here to help.
The new spring market for real estate is underway. If you’re considering buying or selling, let’s connect, so you have the advantage in this competitive market. Just give me a call at 703-963-5500 or send me an email today.