Nearly Half of All Homes are Selling in Less Than a Month

[Dustin Ruhl]

According to the National Association of Realtors, almost half of homes that sold were sold in less than one month's time last month. This value is considerably below the average time sold value from one year ago, when the time on the market average was around 47 days. This change in average listing time to sale has significant for investors. In many markets, there is a shortage of inventory, and home buyers are finding their options limited when they attempt to purchase homes. According to the chief economist of the National Association of Realtors, this shortage is a result of the homebuilding industry's inability to meed the demand for new homes. Any investors who can either find off-market deals, or who can rehab homes and prepare them for market, will be able to enjoy a sellers market. The NAR economist predicted that this trend will continue for the relatively near future. While this trend of low time between homes being put on market to purchase was observed throughout most of the country, there were a few markets where it was especially marked. The cities of San Jose, San Francisco, Seattle, Washington, Denver, and Vallejo-Fairfield were all noticeably quick in turnaround time. In these cities in particular, this trend is likely to continue for the foreseeable future, as housing inventory is tight to begin with.

Key Takeaways:

• Since they removed distressed locations, the average time of a house on the market has fell significantly.
• Value in houses are going down because they're being remodeled which takes more money than actually getting people to buy it
• The demands for clients living at these locations decreased significantly because of not enough inventory and proper value

"Well, in many markets, it means there is a definite inventory “crunch” available to take advantage of."

Read more: https://thinkrealty.com/nearly-half-homes-selling-less-month/