If you have paid any attention to the market and what is going on around you, you may hear that the market is really hot for sellers. Many homes are selling within a matter of days, and often for higher than asking price. For someone who is considering moving for one reason or another, you may be curious whether now is a good time to sell your home in Las Vegas.
This makes it the perfect time for you to decide to sell your home. There are a few factors that make right now the perfect time to sell your home in Las Vegas. These include:
Low Interest Rates
Due to the pandemic, interest rates have gone very low. This has helped to make the cost of purchasing a new home a lot more affordable, bringing more buyers into the market. When interest rates were between 4 to 5 percent or higher, that added several hundred dollars to the monthly cost of the home. But when it dives to 3 percent or lower, that can make the same home more affordable. Many buyers are finding they can all of a sudden afford a home that was impossible for them before. The result of this is that many new buyers are entering the market all at the same time in the hopes of finally getting their own home.
Because there are so many people interested in purchasing a new home due to low interest rates making it more affordable, there is not a lot of inventory. Just because a buyer wants a home does not mean the same number of people want to sell their home. And once a buyer gets into a home, they are likely to be inside that home for a number of years at least.
All of this works together to create low inventory. There are a ton of buyers for high-quality homes, with very little inventory for them to purchase. This is how many sellers are receiving multiple offers for each property and why so many of them are getting above asking price.
High Cost of Building
In many situations, when there is low inventory, buyers will turn to building their own homes. They get the benefit of a home that is brand new and the cost comes out pretty close to the same in most sellers’ markets. The problem right now is that it is very expensive to purchase lumber and other materials for building a home. Contractors are happy to build a home, but to get one constructed is more expensive than purchasing from the available inventory, so most buyers are avoiding it.
This will often bring the inventory even lower. When buyers can’t afford to go for a brand-new home, the building stops. Contractors are not going to build if there is no one around to purchase. When no affordable new homes are built and the inventory of existing homes is so low, the inventory problem just gets worse.
If you are considering selling your home in Las Vegas, you need the right team on your side. At Top Tier Realty, we have the experience to handle all of your real estate needs, no matter what type of home you want to sell. Contact us today to get started so you can sell your home fast!