The housing supply is low right now. The lowest it’s been since it started falling in 2007 and it’s not expected to change in 2021 unless more sellers start to enter the market. As a result the divide between supply and demand is high. And home prices have risen as a result.
Experts agree that a surge in inventory isn’t expected anytime soon so sellers can expect continued price appreciation in 2021 and buyers can expect to continue to get into multiple offer situations with houses selling quickly.
Wondering how much longer this can last and if there’s an actual solution to this problem? That’s a tough one. There are a lot of variables we need to take into consideration. Population growth and new construction for starters. In a nutshell we need more homes to be built to keep up with population growth.
In the meantime the best thing you can do as a home buyer is to be prepared. Make sure you’re pre-approved, have done your research and are ready to move fast. Having a Realtor on your side that you know and trust will help tremendously.