We’ve got a mid-spring real estate market update for you today. We’re also going to talk a little bit about multiple offers.
As far as our market is concerned, the big topic of conversation is inventory. We pulled some numbers for specific areas that we want to talk about today.
First, let’s look at 719 area codes and 720 area codes because they kind of mirror each other. For 719 area codes specifically, we are seeing extremely low inventory in the lower markets. In the $250,000 and under market, there are three active properties. This can be a struggle for first-time buyers, but it’s great news for sellers.
In the $250,000 to $400,000 price bracket, there are just 38 active properties right now. 10 of them are already sold, and about half of the remaining inventory is new construction. There are some split-entry houses, as well as some two-story homes available.
Once we get to the $400,000 to $600,000 range, things get a little deceiving. There are 85 active properties, 22 of which are existing homes. The rest are new construction. Those new construction homes don’t technically exist yet, so it’s kind of a shadow inventory. As for the existing homes in this price range, seven of them are under contract. This leaves the actual number of homes for buyers to look at very low in number. Because of this, more buyers are coming into the market and we’re seeing multiple offers.
Multiple offers is a completely different discussion for buyers and sellers. From a seller’s perspective, it’s very exciting to have the prospect of multiple offers. The highest price isn’t always the best offer, however. A seller may choose an offer that’s slightly lower, but the strength of the buyer and their terms is what they’re looking for. Another thing sellers need to think about is the fact that buyer’s remorse exists, and the buyer can always back out of the deal before they have their inspection.
As a buyer in a multiple offer situation, it can be tough. To make your purchase agreement stand out, you’ll need to add a human touch. Having a great lender doesn’t hurt, as well as an experienced agent.
There’s a quick rundown for you on the market and how to deal with multiple offer situations. If you have any questions for us in the meantime, don’t hesitate to give us a call or send us an email. We look forward to hearing from you soon.