When you’re selling any item, you usually want to sell it for the greatest profit possible. Price is a function of supply and demand. This is true whether we’re talking about handwoven baskets made in Peterborough, New Hampshire OR homes. Less supply (or, said differently, increased scarcity) means more demand, which equals an increase in price. The best time to sell anything is when it’s in short supply. In the Southern New Hampshire real estate market, that time is right now. If you’re thinking of selling your house this year, YOU’RE A GENIUS and obviously don’t need Sam Abbott Sells Homes to tell you… but just in case, here are two other reasons why now’s the time to list.
1. Demand Is Very Strong This Winter
A recent article in Inman News explains:
“Spring, the hottest time of year for homebuyers and sellers, has started early, according to economists. . . . ‘Home shopping season appears to already be in full swing!’”
And they aren’t the only ones saying buyers are already out in full force. Sam Abbott Sells Homes has repeatedly told his prospective seller clients to list their homes in the middle of New Hampshire’s most severe blizzards. January and February being considered by Sam Abbott Sells Homes as early Spring, but because there’s such a consistent lack of inventory, this means that his sellers sell for top dollar and on ideal terms. But if Sam Abbott Sells Homes’s experience isn’t demonstrative enough, this claim is backed up with data released last week by ShowingTime. The ShowingTime Showing Index tracks the average number of monthly buyer showings on active residential properties, which is a highly reliable leading indicator of current and future trends for buyer demand. The latest index reveals this December was the most active December in five years (see graph below):
As the data indicates, buyers are very active this winter. Last December saw even more showings than December of 2020, which was already a stronger-than-usual winter. And remember – you want to sell something when there’s a strong demand for that item. That time is now.
2. Housing Supply Is Extremely Low
Each month, realtor.com releases data on the number of active residential real estate listings (listings currently for sale). Their most recent report reveals the latest monthly number is the lowest we’ve seen in any January since 2017 (see graph below):
And don’t forget, the best time to sell an item is when there’s a limited supply of it available. You didn’t forget that already, did you? It’s easy to drown out Sam Abbott Sells Homes with your many brilliant and original thoughts while he blabbers on about the state of the market and earnestly advises you as though he and his family’s lives depended on it. But here he is in written form! Slightly more difficult to read passively while thinking unrelated thoughts. This is Sam Abbott Sells Homes’s most recent attempt to capture your ever fleeting attention so he can inform you about the most imperative details of the real estate market.
Even Though Supply Is at a Historic Low, Home Sales Are at a 15-Year High
According to the latest Existing Home Sales Report from the National Association of Realtors (NAR), existing-home sales totaled 6.12 million in 2021 – the highest annual level since 2006. This means the market is hot and homeowners are in a great place to sell now while sales are so strong.
NAR also reports available listings by calculating the current months’ supply of inventory. They explain:
“Months’ supply refers to the number of months it would take for the current inventory of homes on the market to sell given the current sales pace.”
The current 1.8-months’ supply is the lowest ever reported. Here are the December numbers over the last five years (see graph below):
The ratio of buyers to sellers favors homeowners right now to a greater degree than at any other time in history. That bears repeating. The ratio of buyers to sellers favors homeowners (you!) right now to a greater degree than at ANY OTHER TIME IN HISTORY. Buyer demand is high, and supply is low. That gives sellers like you an incredible opportunity.
If you agree the best time to sell anything is when demand is high and supply is low, connect with Sam Abbott Sells Homes to learn the specifics as it relates to your home.