4 Key Trends In Today's Real Estate Market

It’s no secret that the real estate market can change quickly. Recent times have seen unprecedented conditions that have benefits for both buyers and sellers. This turnabout may have you wondering what lies ahead. Take a look at these four trends in today’s real estate market for a picture of what’s to come.

1. Low Sales Inventory

Today, buyers will notice there are fewer homes for sale in New Castle, PA than there may have been not that long ago. In fact, available homes for sale were at an all-time low earlier this year. Though numbers have been slowly on the rise with the onset of summer, it’s still definitely a seller’s market. This puts homeowners at a distinct advantage right now.

2. Competition Among Buyers

It’s no surprise that these conditions of low supply and high demand have increased competition among buyers. In order to compensate, many potential homebuyers are taking major steps to ensure their bids are attractive to sellers. They’re often offering bids above the asking price or giving up some of their desired contingencies. Some may even go as far as to place an offer in all cash. Record-breaking offers on home sales this year have put sellers in a good position.

3. Rising Home Prices

Due to increased buyer competition, the real estate market is seeing a significant increase in home prices overall. The Home Price Index (HPI) from CoreLogic shows that this most recent yearly gain has been the highest seen since November of 2005. It’s rising home values such as these that continue to drive the popularity of real estate as an investment. Now is certainly a good time for sellers to reap the rewards of this market in order to get the highest returns on their property.

4. Increased Home Values and Equity

You probably know that your home’s equity grows with each payment you make toward your mortgage. Equity also increased as the home’s value goes up. Therefore, not only are homeowners seeing greater appreciation in the price they can list their homes, but home equity is also increasing across the board. According to CoreLogic, those homeowners who hold a mortgage have seen an average gain in equity of $33,400 per borrower just since the first quarter of 2020. Homeowners can use this incredible leverage to put toward various aspects of their lives. Many may also choose to use that equity toward their next home.

Now is definitely the time to act if you’ve been thinking about selling. Even buyers can use this insight on today’s real estate market to their advantage when competing in bidding wars. Local real estate professionals are a great resource for both buyers and sellers in order to learn more about the best ways to leverage current conditions.