It is spring in Oakland County! Well, almost. We’re going on listing appointments like crazy, and sellers from Ferndale to Shelby are getting their homes to sell. Time for Spring Market Stats!
Because of our seasonal climate here in Oakland County, a substantial portion of our annual sales happen from February through June. There is a lot of pressure on both agents and buyers to capitalize on this market. It is critical that both buyers and sellers understand the spring market statistics before deciding to buy or sell. We’re here to help you understand the market before you jump in.
Why do buyers capitalize on the spring market? They’ll pay more for the same house later.
Below is the graph of the average sales price from January 2017 to January 2018. See why buying early in the year made perfect sense?
The average sale price has increased by 6.5%
With an average sale price in Oakland County rising 6.5%, waiting until later in the year to purchase a home literally cost thousands of dollars more.
The second important market condition is the state of inventory.
“Inventory” refers the number of homes actively for sale in the market. Like most of the country, Oakland and Macomb Counties are also experiencing a shortage of inventory. Take a look below and see what I mean.
When we are in a market with a shortage of inventory, this means that buyers must present the best offer they are willing if they want the house.
They should write without as many contingencies as possible such as contingent upon the sale of their current property or contingent upon the successful closing of their current home if they are duly qualified.
However, we do not recommend waiving your inspection and due diligence contingency. Buyers might reduce the number of days in which they may perform it. For example, instead of dragging it out over ten days, buyers may elect to double up on their efforts and get all of their inspections done in five days. Writing five days is less risk to the seller than ten and would be more favorable in an offer.
We wrote more about how to write a strong offer in this post.
These market statistics are critical to our ability to predict current market trends and advising our clients on what’s coming.
We have market statistics on everything right down to your city and neighborhood. If you have a question regarding how the market is affecting your neighborhood, call us for specifics; it’s what we do!
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