According to Realtor.com’s recent Housing Shortage Report, the US is experiencing the worst inventory shortage in two decades. And while this presents a definite challenge for people looking to buy a home, it creates the perfect storm of opportunity for those wanting to sell. According to Realtor.com’s research, the housing shortage can be attributed to the baby boomer generation being unwilling to sell in the current market. In fact:
72% of existing homeowners over the age of 55 feel their current home fits their needs
85% of those baby boomers don’t plan to sell their home in the next 12 months
Boomers are keeping approximately 33 million properties off the market — a huge contributor to the historically low inventory the US is experiencing. But this historically low inventory means that there couldn’t be a better time to sell. Low inventory means more competition, and more competition typically means higher offers and a better deal for sellers — especially if you’re selling a starter home. Thanks to millennials entering the homebuying market for the first time, starter homes are the most in demand selling point on the market. And since they experienced a 17% decrease in supply from 2016 to 2017, a great starter home will be an even hotter commodity in 2018.
Low inventory can be a problem for buyers. But if you’ve been thinking about selling your home, low inventory means there’s never been a better time to put your property on the market.