Tacoma – Today’s Real Estate Market Report and Housing Market Predictions 2020
Market Update | August 2020
Did know that from a Lending Tree Study, 87%, eighty seven percent of home sellers were concerned that their home won’t sell because of the pandemic and resulting in an economic recession. This could not be more untrue right now. Right now is an amazing time to sell your home. Why, because inventory levels here in Tacoma Washington 98407, 98406. In fact, right now the inventory is lower than it was in January which is traditionally historically here locally one of the lowest inventory level months. But, what’s so interesting about this is that the buyers are in full demand. They are out in full force making offers. In fact Zillow reported that newly pending sales are up 18.8 eighteen point eight percent month over month, but total listings are down 20.7 (twenty point seven percent), so there just isn’t the inventory in the market to support the buyers high demand. So why are buyers in a buying frenzy??? Why, because interest rates are low, they can afford more home right now and put less money down, and their payments will be less because the interest rates are lower. In many cases it’s actually more affordable to own a home than it is to rent one, especially if you take into consideration the tax saving advantages from owning a home. So what does all of this mean? Well, according to all of the experts, if you take a look at this graph right here, with the exception of one, 5 five of the experts are anticipating an increase in home prices through 2022 and 3 three out of the 5 five, are anticipating over a 3% three percent appreciation through the end of the year. This is summed up nicely by Zelman and Associated June 25th Broker Report which states, and I quote, “The severity of inventory tightness should remain a relative benefit to home prices, but it is also a risk factor to the degree of rebound in unit sales going forward.” So inventory is going to have a massive factor, the lack of supply is helping prices go up. So, it’s not just a good time to sell, it’s an amazing time to sell. We can give you so much more information and details if we can meet, and don’t worry we can meet virtually as well. Give us a call and we’ll be happy to help you sell your home here in Tacoma Washington 98407.
Market Update | July 2020
Can I Skip My House Payment?
What About Me?
Buyers are back in action. Just two months ago, things nationally were at a slow down. We’re seeing multiple offers and bidding wars on a lot of properties. Home prices are going up, both nationally and locally, here in Tacoma and surrounding areas due to the high demand. Buyer traffic is increasing here in the west as much as 20.9% more than last year. The same is true as sales, as compared to this time last year. Sales are up nationally as much as 10.8%
George Ratiu, senior economic advisor for Realtor.com says, “The nation is struggling with an under supply of housing.” The number of homes for sale are poised to reach historically low level. Nationally, we only have about two to three months worth of inventory of homes for sale, meaning it would only take two to three months to go through all the inventory of homes for sale on the market. Inventory hasn’t been this low since 1993. How does that affect the market nationally and right here locally in Tacoma market and the surrounding communities? Well, with less houses on the market and more buyers to buy, that generally means that prices are going to increase.
The other thing important to note is that interest rates are anticipated to continue to go down. Barry Habib, one of the most accurate real estate forecasters predicts that interest rates are going to continue to go down, maybe even reaching 2%. We’ve also got the election coming up and these factors can also contribute to lower interest rates. That means that the markets should stay strong, so it’s time to take action.:
If you’ve been sitting on the fence thinking that house prices were actually going to go down, it doesn’t look like that’s going to happen, and if you’ve been thinking about selling with the lack of inventory, now’s a good time.
So, if you have any questions, anything real estate related or community related, we at the Anne Curry Homes are here to help. So do me a favor. Feel free to reach out. We love what we do. We love our city, and we love our community and we would love to serve you.