Despite a sluggish start to the New Year, home buyers are making a comeback on housing markets across the country, including in Sarasota, according to the latest report from the National Association of Realtors.
Evidently, there are several factors at play that could be encouraging more and more home buyers to enter the market this spring and summer.
Interested in learning more? Continue reading!
First, A Look Back at the Start of 2015
As many people may recall, the national housing market was rather sluggish at the beginning of the year.
For instance, January’s closing activity was markedly lower than the last months of 2014.
Part of this had to do with unusually cold winter weather throughout the weather.
But there were other factors at play too.
For instance, inventories are considerably low, giving home buyers fewer options to select from.
In fact, the supply of homes fell in January for the second straight month on a year-over-year basis. And this was after having risen for 16 straight months.
Generally speaking, it’s larger inventories that help to motivate buyers but also help to keep prices from rising too quickly.
Thus, supply of homes definitely inhibited home buyer demand.
But the Outlook Going Forward Is Sunny!
There are several indications, however, that the doldrums are behind us!
For instance, demand for new construction is on the rise, as is the need for more skilled construction workers.
This is driving up wages, which is giving more people in the general population buying power.
As a result of all of this construction demand, experts believe the national housing market could see a 30 percent increase in new-home sales in 2015.
Meanwhile, jobs and wages are steadily improving and the mortgage credit box is opening up slightly.
All of these factors are creating great conditions for first-time home buyers (read: Millennials) to enter the market.
How Can We Help With Your Sarasota Home Purchase?
It truly is an exciting time to be navigating the national (as well as the Sarasota) real estate market as a home buyer!
We would love to assist you at every stage of the home buying process!
Until next time,