Housing Inventory Turnaround Possible
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April 7, 2022
A new survey shows many homeowners plan to list their home over the next six months, with high expectations for making a profit on the sale. Sixty-four percent of about 3,000 consumers recently surveyed by realtor.com® said they intend to sell their home this spring or summer. That could bring some welcome relief to a housing market that has been starved for inventory.
“While sellers are expected to hold the upper hand in 2022, navigating the listing process remains a challenge—particularly for those also buying in today’s fast-paced market,” says George Ratiu, senior economist and manager of economic research at realtor.com®. “Homeowners who are ready to move forward with pandemic-delayed plans will find plenty of opportunity this spring and summer. Although accelerating inflation is leading to higher housing costs and living expenses, many buyers remain interested in finding a home. At the same time, recent housing trends suggest demand is beginning to moderate as higher mortgage rates push monthly payments out of some buyers’ budgets, underscoring the long-term need for more affordable inventory.”
Homeowners have great expectations for when they do decide to sell. Aspiring sellers responding to the survey say a top reason is the desire to profit from the current market.
Millennials are expected to represent nearly half—49%--of sellers who plan to list within the next six months. They have financial motivation to stick to their plans, the survey found. Their top reasons for selling are pressure from rising inflation and economic uncertainty. They showed higher shares than other generations of wanting to move to a more affordable home and a need to sell for financial reasons.
Regardless of age, aspiring sellers are readying their homes to list. They are taking steps to prepare, such as making repairs, cleaning, and decluttering.
The majority of those who have already listed found success: Eighty percent of recent sellers say they sold at or above their asking price, according to the realtor.com® survey. They also reported other benefits of selling in the competitive market, such as buyers forgoing repair concessions (28%); offers within a week (27%); and waived contingencies like inspections (25%).
Source: Move Inc.