“It seems that no matter the size of the market there’s a common thread,” George Ratiu, economist for Realtor.com. “Not enough supply for demand.”
Our current bidding wars are caused by… •High demand by people who can work remotely •People who need more space during the pandemic •Waves of millennials just reaching homebuying age •Shortage in building over the last decade
The National Association of Realtors (NAR) tracks the average offers on listings. In both June and May of this year the average was 2.7 offers.
That’s a far cry from the 14 offers I recently received on a listing, but it does show that across the country — even comparatively calm markets — the number of offers is increasing.
Historically affordable secondary markets will see ongoing price growth and competition. “Markets that are more affordable are likely to see continued and sustained demand,” Ratiu added.
The upside is that as difficult as these conditions are, younger homebuyers don’t seem to be bowing out of the market. Need help navigating the market? Reach out to me at email@example.com