Today’s real estate market is very hot. Houses are selling in record time, prices are rising and bidding wars are intensifying. It’s no wonder that many consumers are worried about a property bubble and the possibility of a crash.
In this kind of challenging environment, agents really need to understand what’s driving the market and where the trends are headed so that they can be prepared for what’s coming next. My upcoming Bold Predictions broadcast will closely examine these issues and uncover what the future holds for real estate – and what agents need to do to succeed. Here is a preview of trends that I’m keeping an eye on for this broadcast.
Housing inventory is still low, with demand outstripping supply. Because there are a limited number of properties on the market, buyers are coming under extra pressure to compete and forego contingencies. I’ll share my predictions for what’s to come regarding housing inventory over the next few months, and when the situation might ease.
Because inventory is so low and buyer demand is so high, home prices are continuing to surge. Houses are selling with lightning speed – often for more than the asking price – and buyers trying to enter the market face stiff competition and increased costs. With pressure like this, consumers naturally want to know when, or if, prices will begin to cool. NAR’s Dr. Lawrence Yun will specifically address this topic during the broadcast.
A Market Crash?
This current market is different than the one that led up to the 2007 – 2008 housing bubble. Today, experts report that most homeowners today can afford the home they’re living in and have accrued equity from home price increases, decreasing the risk of a foreclosure crisis. In my Bold Predictions broadcast, I’ll explain how the behaviors of homeowners and lenders have changed to prevent a housing crash.
NAR reports that its membership is increasing, with agents working diligently to keep up with the pace of the market. Despite this, income has dropped, transactions are down and skills are on the decline. Now more than ever, agents need consistent and proven training to serve their clients at the highest levels in these kinds of challenging conditions.
The market is hot and it looks like it’s going to continue that way for some time to come. In this competitive market, agents need to stay on top of the trends. To learn more about how trends will shape the marketplace this year, sign up to watch my Bold Predictions: 2021 Mid-Year Update on June 28 at 9 a.m. PST.