Buyers are outnumbering sellers in the housing market, but both have something to gain. The housing market has been much like a see-saw the past few months, as both the positives and negatives continue to somewhat balance each other out. Although home prices have increased, mortgage rates have decreased. Although housing inventory has decreased, pending home sales increased by more than 20% in June, according to Forbes. But what continues to tip the see-saw is the number of buyers versus sellers. Forbes says sellers waiting to list are missing out on a profitable and quick sale, while buyers must work to quickly snag a property.
According to recent studies, as of July, housing inventory nationwide declined 32.6% year-over-year while newly listed properties declined 13.4%. This summer, homes stayed on the market for 18 fewer days than a year earlier. Florida Realtors Chief Economist Dr. Brad O’Connor said, “Several factors are playing into this renewed demand for housing but, by far, the most important factors are record-low mortgage interest rates and the release of all the pent-up demand from our derailed spring buying season.”
The sunshine state in particular has been drawing buyers since the pandemic began. According to Florida Realtors, pending sales of single-family homes were up 23.2% this June compared to last June, and new pending sales of condo-townhouse units are up 19.8% this year over last. Many are happening in the suburbs — a result of people fleeing the more agglomerated areas.