As the Vail Valley Real Estate market continues its comeback, home owners thinking of selling their homes may not know whether to list their homes now or wait and see if home prices will rise. While no one can see the future, the Rocky Mountain Home Team prides itself on having a strong grasp on market conditions right now – and those suggest it is a good time to sell. Here’s why:
1) High Demand
During the economic recession and early recovery, many Americans had to put their dreams of home ownership on hold. Today, after a period of slow but sustained recovery, folks are once again thinking of buying a home. The National Association of Realtors’ 2013 National Housing Pulse Survey found that home ownership is top priority for many who currently rent, and 80% of Americans surveyed believe owning a home is a solid financial investment.
2) Low Supply
At first glance, it might seem like bad news that for several months leading up to July, existing home sales were down – but it is actually very good news for sellers, as price-per-sale has been on the rise. Unlike during the recession, the limiting factor doesn’t appear to be that people aren’t buying homes, but that there aren’t as many homes available for sale. July finally saw a spike in the number of existing home sales, an indication that potential sellers are realizing that now is a great time to sell. The good news is median prices are still on the rise, indicating that demand still out paces supply – for now.
3) New Construction is Coming Back
Of course, the demand for Vail Valley Real Estate means the work crews are back in action. Locally, we’re seeing especially big surges in Beaver Creek and down valley, with plans for new developments in Eagle and several expanding neighborhoods in Gypsum. A rise in home construction is great news – it provides a broad boost to the local economy in a way little else can – but the impending wave of new homes will only increase competition in the market.
4) Interest Rates are on the Rise
A recent study by Trulia and Harris Interactive found that the number one concern among home buyers right now is that interest rates will continue to rise. A look at the latest data on mortgage rate trends seems to support that concern. However, while Mortgage rates are indeed on the rise, they are still at historic lows. The good news here for sellers is that the possibility of rising interest rates offers a strong incentive to buy now rather than wait.
At the Rocky Mountain Home Team, we understand that many factors influence will your decision as to when you will decide sell your Vail Valley home. For a free, no obligation appointment with our Team Lead and Listing Agent, contact Michael Routh at Michael@rockymountainhometeam.com or 970-471-0646.