Tag Archive for: Best Time To Sell

Homeowners are incentivized to sell, if they’re in a position to do so, as we set sights on the spring housing market. It’s no surprise that last year was a stellar year for homebuying and selling. Unfortunately, many were left on the sidelines, especially first-time buyers who only had FHA loan approval or were relying on a more limited down-payment as they pursued homeownership. Often investors beat first-timers to the punch, swooping in and snatching up available homes for sale. The challenges still exist. You need only ask those who are still looking to buy.

Persistent low supplies, even locally, have driven up home prices. Fueling the fire was 2021 with its record-breaking growth in the housing sector. Appreciation in home prices was high at the start of the year and accelerated even higher by year’s end. “Price appreciation averaged 15% for the full year of 2021,” which was more than double the prior year.

Sellers who can afford to sell, and we use that term “afford” loosely, should do so. If you’re a homeowner thinking about selling, is there a better time of the year to put your property on the market? Is there an optimal time to sell? Is there a month or a very specific time of the year where a seller would be in a better position than if he/she waited? These are great questions. New and sold listings in our market will shed some light on this discussion.

New Listings in the Greater Scranton Board of REALTORS®
2021 2019 2018
February 172 244 228
March 267 324 320
April 330 400 364
May 387 432 448
June 374 381 434
July 368 360 387
August 397 331 353
September 329 329 313

*GSBR statistics 2018-2021

 

Sold Listings in the Greater Scranton Board of REALTORS®
2021 2019 2018
February 157 159 138
March 243 180 187
April 248 203 168
May 262 250 258
June 312 240 214
July 294 270 240
August 313 265 285
September 298 228 225

*GSBR statistics 2018-2021

The COVID-filled year of 2020 was a tale of two markets, an extremely silent one as well as a vigorous one beginning in June of that year, and therefore, we skipped it for obvious reasons. But the patterns of three of the last four years show a trend. New listings entering the market peaked in May/June and sales hit their highs in July/August. And this correlation between sales and listings is logical with an estimated forty-five to sixty days to close for properties in our market.

It might be advantageous for prospective sellers to circle the month of March on their calendars. Next month you say? Yes, March is the perfect time to list! ATTOM data would also suggest March or perhaps even April is the best time to put your home on the market. May and June experience the highest returns for those looking to make a profit in selling their property. But don’t sweat it, if you’re not ready to go in March or April, you might be able to catch some of that buyer activity during the summer months.

We would caution anyone looking to sell though as home price appreciation may begin to taper as this year comes to a close. The median home price was almost 12% higher than it was a year ago and that should continue short-term, according to realtor.com’s chief economist. But many forecasters believe a plunge in home prices is coming by year’s end. Sellers who are on the fence, should act soon. In fact, next month might just be the perfect month!

What if we told you we were coming up on the sweet spot for buying and selling in real estate? Would you believe us? Real estate has a long tradition of being a seasonal market, especially in Northeastern Pennsylvania where we undergo four seasons. Alright, perhaps we only have three – late summer, long winter and rainy spring! Nevertheless, if and when spring sets in, motivated sellers have their sights set on unloading their home for top dollar. Over the past few years, there’s been a slight shift in the data in how consumers have responded. And of course, COVID-19 has severely affected traditional real estate trends in our Greater Scranton market.

The trends over the past nine months show some of those glaring differences:

Month Sold Listings Year-Over-Year % Active Listings Year-Over-Year %
October 388 68.7 665 -51.5
September 335 46.9 667 -50.8
August 361 36.2 692 -50.9
July 350 29.6 811 -41.5
June 141 -41.2 856 -36.3
May 107 -57.2 888 -30.6
April 156 -23.2 968 -19.0
March 167 -7.2 1046 -8.5
February 156 -1.9 1026 -11.6
January 173 16.1 1079 -8.9

* Greater Scranton Board of REALTORS® statistics

The sold listings from this past May, June, September and October clearly point to disruptions the pandemic has imposed on real estate in Northeastern Pennsylvania all while housing inventory continues to fall. Regardless, if we’re trending back to some sense of normalcy in real estate, Thanksgiving time might be the sweet spot for buying or selling real estate.

If you’re seriously considering purchasing a home, November and December certainly can make their case as to why you should make a move into their corner. Generally, autumn has been an excellent time to buy a property. In fact, according to real estate information company Attom Data Solutions, some of the best days to buy are November 9, December 4, 7, 26 and 29. Boxing Day, December 26, a monster shopping day on the calendar, is actually the single best day to purchase a home!

As we approach the heart of winter, buyers notice some of the lowest prices of the year. In fact, low mortgage rates continue to provide many with the opportunity to purchase, while having more buying power. Though experts believe the rates will stay low for the start of 2021, a change in leadership, bond prices and the state of the economy could certainly change that.

Believe it or not, November and December likewise present a good situation for some who are looking at selling. At the end of the year, buyers typically have less choice and homeowners seeking to sell may take advantage of these circumstances. The fact of the matter is this: There’s generally less competition for sellers, whereas there’s more motivation and perhaps the lure of year-end tax benefits for buyers. If buyers are seriously considering homeownership, this creates ideal conditions for sellers, who are typically competing with lower inventory by year’s end. Today, in the Greater Scranton area, our housing inventory is incredibly low! Furthermore in recent years, more homebuyers are less fixated on “summer buying” as well as school schedules (some don’t even have children) and if they have time constraints, their motivation can play right into the hands of sellers.

“Traditionally November has always been a really terrific month for sales because you’ve got people who have been out there looking saying, look, another year is about to pass. Let’s focus”

Depending on your specific situation right now, this time of the year might be the sweet spot for buyers and sellers alike. Yes, you’ll find highly motivated sellers in the market, but there won’t be a shortage of motivated buyers either. Given the right mix, it might be perfect timing to buy and sell!

 

If you’re a buyer or seller and have more questions, see our (buyer/seller) FAQs or contact us today.