May 2021 Market Report
Welcome to your Monthly Market sCoop for May! We hope you enjoy this inside sCOOP from the Cooper Home Team and find it helpful for understanding the current market and making informed real estate decisions. As always, it is our pleasure to serve you! Please contact us so we can help you "Love the Home That Builds YOU" in CO!
Bottom Line: According to Lawrence Yun, Chief economist at the National Association of Realtors (NAR), we are not in a housing bubble. The housing market we are experiencing right now is simply due to a lack of supply.
Housing Shortfall and Increasing Inventory: Our housing shortfall right now is simply due to a decline in the construction of single family homes. Housing inventory has not been been able to keep up with population growth. However, chief economists are predicting a 43% increase in housing inventory during the 2nd half of 2021. Yay!
Home Equity Gains: The average profit in home equity for sellers has increased 26% since the first quarter of 2020. The average seller will gain about $70,000 in equity with the sale of their home!
Fast Moving Market!: We are still in a fast moving market with the average turn around being 18 days from listing to contract. If you have a home to sell, there are many buyers interested in your home!
Interest Rate Update: IR are hovering around 3% right now and are predicted to rise to around 3.5% by the end of 2021.
Home Price Forecast: The average projection by chief economists is an average of 6.8% increase in home prices by the end of 2021.