Are you thinking of selling your house? If so, you’re in luck! Despite the fact that there are more homes available for sale than there were at this time last year, there are still more buyers than there are houses to choose from. This means that your house can really stand out in today’s market.
The Housing Shortage: What’s Behind It?
So, why is there a shortage of homes for sale? There are several key reasons:
- Underproduction of Homes: For years, the industry hasn’t built enough homes to keep up with demand. In 2022, 1.4 million homes were built, but the number of U.S. families increased by 1.8 million that year, meaning the country didn’t even build enough to make a place for the new families, let alone begin chipping away at the deficit that has hampered housing affordability for more than a decade.
- Rising Costs: Building materials, labor shortages, and supply chain disruptions caused by the pandemic have all made it harder and more expensive to build homes. This can either limit or stop new home construction in some areas.
- Regional Imbalances: Some markets are more affected by the shortage of homes than others. Popular and more desirable areas have more people moving in faster than new homes can be built. The number of new building permits issued doesn’t always keep pace with job growth in these regions, and that leads to even tighter markets and higher prices.
The Numbers Don’t Lie
According to estimates from Real Estate News, the U.S. is facing a housing shortfall of roughly 3.3 million homes. This shows there’s a significant number of homes that need to be built just to meet current demand from buyers. But what about future demand? Over the next 10 years, the U.S. will need about 18 million new homes to meet projected demand, including homes for new households, second homes, and replacements for aging or unusable homes.
What This Means for You
So, even though more homes are on the market compared to last year, there still aren’t enough of them to go around. This is where you can really win if you’re ready to sell your house. The shortage of homes for sale means your house is likely to get some serious attention from buyers. It’ll take years to climb out of this inventory deficit, and the market is still very tight. So, when buyers are competing for relatively few homes like they are right now, that creates more interest in the houses that are on the market, putting upward pressure on prices and ultimately working in your favor.
Get Ahead of the Game
If you’re thinking about selling, it’s essential to work with a real estate agent who understands local trends. They can help you price your house right and create a strategy to attract the right buyers. Don’t miss out on this opportunity to shine in today’s market. Let’s connect and get started on your home selling journey!
Share Your Thoughts
Are you thinking of selling your house? What are your concerns about the current market? Share your thoughts in the comments below, and let’s start a conversation!
Need help selling a home in Kansas City? Let’s talk . . .
Chris Dowell from ReeceNichols Real Estate (913) 712-9313