Why Now is the Perfect Time to Plan for Selling Your Home
As the real estate market transitions into the fall and winter seasons, many potential sellers are left wondering whether it’s the right time to list their homes. While current market conditions may not be ideal for selling, this time of year offers a unique opportunity for homeowners to plan strategically for the future. Here’s why.
Seasonal and Election Impacts on the Market
Historically, the real estate market slows down during the fall and winter months. Fewer transactions take place during this period, and when you add the uncertainty of an upcoming election, that slowdown can become even more pronounced. Elections tend to create fluctuations in mortgage rates, inventory levels, and buyer activity, with some homes sitting on the market longer than usual. However, this temporary dip is often followed by a surge in the market post-election. In fact, after 10 of the last 11 elections, home prices have increased, and market activity has picked up quickly.
Recent Market Trends: Positive Signs Amid the Slowdown
Despite the typical seasonal slowdown, recent data suggests that the market remains active. According to a Redfin report, 27 of the 50 largest metro areas in the U.S. saw more pending sales this past September compared to the previous year. Portland, for example, saw a 10% year-over-year increase in pending sales. This indicates that while the overall market may appear quieter, there are still buyers and sellers actively participating, even as we move into the slower months.
Mortgage Rates: Trending in the Right Direction
One of the most significant factors influencing buyer activity is mortgage rates, and right now, they’re trending down. Currently in the low sixes, some experts believe rates could even drop into the fives by the end of the year. This is critical because over half of prospective home sellers have indicated that an interest rate with a “5” in front would motivate them to sell. As rates drop, more buyers enter the market, and more homes move off the sidelines.
Planning Now for a Strong Spring Market
With a robust spring market expected, now is the perfect time to start planning if you’re considering selling your home. To make the most of your investment and achieve the best possible return, it’s important not to list your home impulsively. Proper planning and a well-thought-out strategy will set you up for success.
Having a proactive, rather than reactive, approach is key. A strategy session with real estate professionals can help you navigate market conditions, prepare your home for sale, and position it to stand out when buyer demand picks up. Whether you’re considering updates to your home, pricing strategy, or timing your listing for maximum exposure, now is the time to think ahead.
Bottom Line
While it may not be the best time to sell right now, it’s the perfect time to plan. By understanding current market trends, leveraging favorable conditions like falling interest rates, and preparing for a strong spring market, you can set yourself up for success. A strategic approach today could make all the difference in securing the best possible outcome for your home sale when the time is right.