Two Things Sellers Need to Know This Spring

Over the past year, the housing market has changed a lot, and you may be wondering what to expect this spring. Here are two factors to consider if you're considering selling your house this spring.

1. Houses that are priced right are still selling

While it may have been possible to set a high asking price and still receive multiple offers in the past, this is not the case in most situations today. This strategy can backfire and cause your home to sit on the market for longer than necessary. The longer your home sits on the market, the more likely a buyer will assume there is something wrong with it and interest wanes. It deters potential buyers and leads to fewer showings and offers.

Jeff Tucker, Senior Economist at Zillow, says “. . . sellers who price and market their home competitively shouldn’t have a problem finding a buyer.”

It is common for people to mistakenly believe that their house should command the same price as their neighbor's house did a year ago. Not so much.

Danielle Hale, Chief Economist at realtor.com, explains: “With a smaller pool of buyers today and more competition from other homes on the market, home sellers will likely need to adjust their price expectations on the market this spring.”

Houses that are priced at their current market value attract more potential buyers and increase your chances of a successful sale at a higher price. Work with your real estate agent on a pricing strategy.

2. Buyers are still out there

As mortgage rates have risen and remain volatile, some buyers have paused their plans. But there are still plenty of reasons people are buying homes today.

Lisa Sturtevant, Chief Economist at Bright MLS, explains the mindset of today’s buyers: “For some buyers, higher mortgage rates simply mean buying a home is out of the question unless home prices fall. For others, higher mortgage rates will be a hurdle but ultimately will not keep them from getting back into the market after sitting on the sidelines for months.”

Homes are still selling because there are more buyers than homes for sale. In Contra Costa County, home prices are up about 6.5% YoY, although it's difficult to predict how they will change over time. Waiting for all factors to come together often means paying more for the same home next year. Overall, home buyers are still motivated and eager to find a place to call home in 2023. Good news for sellers.

Bottom line:

There are still clear opportunities for sellers this spring. In addition to these two factors there are many other considerations that home sellers need to keep in mind when preparing to sell their homes. Work with an experienced real estate agent to help you navigate the process and maximize your chances of a successful sale. By staying informed about market conditions and taking steps to prepare your home for the market, you can set yourself up for a smooth and profitable sale this spring.

 

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