While flowers are starting to blossom and leaves are beginning to adorn the stark, twiggy figures of trees once again, something that has not flowered this spring quite according to plan, in the Northwest, at least, is the housing market.
As HousingWire reports, pending sales fell 4.5 percent from March compared to last year while inventory also fell about 25 percent during that same time. These drops have created an increase in home prices of 9.4 percent.
Currently, the Northwest has a housing inventory of about 1.8 months supply, a far cry from the four to six months supply that is supposedly indicative of a healthy market. As the line of people looking to buy continues to grow, significant process in increasing supply is not being made. There simply aren’t enough homes for sale.
With so many people looking to buy, you may think it would be an easy decision for anyone looking to sell their home to list it as soon as possible and watch the bidding wars begin. But what is often overlooked, is the people selling the home are often times looking to purchase another home, as well. Sellers are worried their home would sell instantly if they put it on the market and they might not win the bidding war for their next home, leaving them up the proverbial creek without a paddle. Or perhaps they have a paddle, but 20 other people want it too, and are willing to pay.