“The number of building permits issued in January was 1,551,000. This is a 9.2% increase from December. Find out what that means to you.”
The number of building permits issued for single-family homes is the best indicator of how many newly built homes will begin to come to market over the next few months. According to the latest U.S. Census Bureau and U.S. Department of Housing & Urban Development Residential Construction Report, the number of building permits issued in January was 1,551,000. This is a 9.2% increase from December.
How will this impact buyers?
New inventory means more options. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), explained how this is good news for the housing market – especially for those looking to buy:
“More construction will mean more housing inventory for consumers in the later months of this year…Spring months could still be quite tough for buyers since it takes time to convert housing starts into actual housing completions.”
How will this impact sellers?
More inventory means more competition. Yun continues to say:
“As trade-up buyers move into these newly completed homes in the near future, their existing homes will be released onto the market.”
Today, because of the tremendous lack of inventory, a seller can potentially anticipate:
- A great sale price on their house as buyers engage in potential bidding wars.
- A quick sale as buyers have little inventory to choose from.
- Fewer hassles as buyers want to smoothly secure a contract.
Bottom Line
If you’re considering selling your house, you’ll want to list sooner rather than later. This way, you’ll get ahead of this new competition coming to market and ensure the most attention toward your listing and the best price for your house.
To view original article, visit Keeping Current Matters.
Should I Wait for Lower Mortgage Interest Rates?
Borrowers are smart to take advantage of these low rates now and will certainly benefit as a result.
How to Make the Dream of Homeownership a Reality This Year
If you’re dreaming of buying a home this year, start by connecting with a local real estate professional.
Will Forbearance Plans Lead to a Tsunami of Foreclosures?
With today’s positive equity situation, many homeowners will be able to use a loan modification or refinance to stay in their homes.
Why Right Now May Be the Time to Sell Your House
With high buyer demand and such a low supply, now is the perfect time to sell a house on optimal terms. Why wait until spring?
4 Reasons People Are Buying Homes in 2021
As many of us spend extra time at home, we’re reevaluating what “home” means and what we may need in one going forward.
What Does 2021 Have in Store for Home Values?
Home price appreciation in 2021 will continue to be determined by the imbalance of supply and demand.