Housing Market Forecast 2021: How Hot Will It Be?
So you’re hoping to buy or sell a home and want to know what the housing market forecast is like—especially after such an unpredictable year. Well, keep in mind that no one can predict what’s going to happen with 100% accuracy. But we can check out what real estate experts are seeing and make some guesses about the future from there. (Hint: It’s looking strong!)
Remember, housing market predictions can only give you an idea of what to expect if you buy or sell a house this year. But never let them dictate your housing decisions—only your personal situation and finances should do that.
With that said, let’s take a closer look at how the market is doing.
Your Housing Market Forecast for 2021
Get your fireworks ready because the housing market for 2021 could be a blast! Experts predict a post-pandemic rebound—we’re talking steady mortgage rates, job recoveries, and the law of supply and demand all working together to spark a match that will make home sales go kaboom!
That’s right, forget the slow start to 2020 where all the unknowns of the pandemic outbreak had home buyers and sellers feeling a bit shy to pull the trigger. Real estate agents have had a full year to adopt new ways to respect social distancing guidelines when necessary. And with super low inventory, pent-up buyers are scratching and clawing to enter the market.
Real estate gurus believe low mortgage rates and the rise of remote workers with flexible schedules will keep home sales booming in 2021. For the math nerds out there, here’s a snapshot of what that could look like numbers-wise:
For a better understanding of what that means for you, let’s take a deeper dive. Remember, these numbers are only predictions made by people who study the housing market. In other words, while the numbers will probably change here and there as experts crunch new data, the bottom line will mostly stay the same: Home sales and prices are likely to be higher in 2021 compared to last year.
How Fast Will Homes Fly Off the Market in 2021?
Before the start of 2021, existing homes were typically on the market for just 21 days—meaning houses were plucked off the market two weeks faster than a year ago.
That’s great news for sellers who are itching to get their homes sold fast. But buyers need to stay focused! You won’t want to dawdle once you find your best home because it’ll likely be gone if you wait too long to commit.
Of course, every market is a little different—here’s a state-by-state breakdown so you can see about how many days existing homes stayed on the market in your area.
What Does This Mean for Home Sellers in 2021?
Sellers out there can feel pretty good about 2021. There are still plenty of buyers in the market and not as many sellers to compete with you. If you work with an experienced agent, you’ll be able to set the best home price and find the right buyer. You should have no problem selling your house this year.
Plenty of Home Buyers Will Enter the Market
Just before we rang in the new year, real estate agents across the country were asked to describe their market based on how many buyers were looking for homes and how many sellers were selling their homes. Check out the first map to see how hot the buyer traffic was in your neck of the woods:
As you can see, buyer traffic has been piping hot in 22 housing markets and pretty strong throughout most of the country—a great sign for sellers.
This story appeared on https://www.daveramsey.com
