“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.
Guidance and Support Are Key When Buying Your First Home
If you’re not sure where to begin or you simply want help in figuring out how to save for a home, we are here to help you! Call us today 🙂
Three of the Latest Reports Show Housing Market Is Strong
The residential real estate market is remaining resilient as the country still struggles to beat the COVID-19 pandemic.
A Real Estate Pro Is More Helpful NOW than Ever
A recent study shared by NAR notes that both buyers and sellers think an agent is more helpful than ever during the current health crisis.
Home Sales Hit a Record-Setting Rebound
Home prices rose during the lockdown and could rise even further due to heavy buyer competition and a significant shortage of supply.
Two Reasons We Won’t See a Rush of Foreclosures This Fall
Many think we may see a rush of foreclosures this fall, but the facts just don’t add up in this case.
A Remarkable Recovery for the Housing Market
Many experts have said the housing market will lead the way to a recovery, and today we’re seeing signs of that coming to light.