Why It’s a Great Time to List Your House in Greater Lansing
Have recently noticed all the real estate sold signs as you cruise down your local streets? Maybe you have seen the busy traffic at a neighbor’s Sunday open house? If you live in Greater Lansing and haven’t yet heard, it’s a great time to list.
Perhaps you have recently noticed all the real estate sold signs as you cruise down your local streets? Maybe you have seen the busy traffic at a neighbor’s Sunday open house? If you live in Greater Lansing and haven’t yet heard, properties are selling. Right now is a great time to list your home!
Real Estate Inventory Is Low
In a neutral real estate market there is about a six-month supply of homes for sale. A housing supply greater than six months is an indication of a buyer’s market. Right now in Greater Lansing, there is only a 3.2-month inventory of homes on the market. The inventory of homes for sale is about 40 percent less than it was at this time last year. This means there are significantly more buyers out there than homes for sale. Some out-of-town buyers are even making offers sight unseen because they fear a desirable house will be gone before they have a chance to walk through it. When demand is higher than supply, it’s a great time to list your home.
While houses sell all year long, spring is traditionally high season in real estate; especially in Michigan where buyers seem to come out of the woodwork this time of year. The weather is typically better and yards look their best with blooming flowers and green grass. Buyers with school-age children like to make home purchasing decisions in the spring and early summer so they are settled in a new place before school starts in the fall. Thanks to daylight savings time, there are more hours available to view houses and people generally like to make a move when they don’t have to worry about ice, cold, and snow.
Prices Are Going Up
The competition among buyers for the limited number of existing homes for sale is causing prices to rise. For sellers interested in getting top dollar for their property, it’s a great time to list. The average list price in Greater Lansing in April 2015 was $159,000. This year, the average list price is $181,000. Not only have the listing prices risen, but the low inventory of available houses is causing multiple offers on some properties. With these bidding wars, prices are frequently even exceeding the list price of the home.
Interest Rates Are Low
Once you decide to sell your house, chances are you’ll need to purchase another property. Right now is a great time to list because interest rates are remarkably low. The current interest rate for a 30-year conventional mortgage is between three and four percent. There is ongoing talk that the Feds will raise rates in 2016. No drastic increase is expected, but even an increase of one percent on a $300,000 mortgage, for example, could cost you an extra $100.00 per month and over $16,000 on the life of your loan.
The decision to make a move is a big one. There are lots of things you need to consider, but if you’re ready, talk to a real estate professional about your property value. You will likely be pleasantly surprised. Right now is a great time to list your home!