2018 Home Buying Trends: What Buyers and Sellers Need to Know
This is a guest blog post from Tom Lipinski of the Tom Lipinski Team at Keller Williams Lakeside Realty.
Spring is right around the corner, which means more sellers will soon be listing their homes for sale and eager homebuyers will start their search for the perfect house. While spring usually marks the start of the home buying season each year, the housing market can vary from year to year, making it important for hopeful homebuyers and sellers to stay on top of the latest trends.
To help you stay ahead of the curve (and the competition), continue reading to learn more about the 2018 home buying trends we expect to see unfold this year, including more millennial homebuyers entering the market, tighter inventory in entry-level price ranges, and smaller, more affordable new construction homes.
As the economy continues to grow in 2018, more and more renters are deciding to become homeowners.
With this growing demand comes a shortage of inventory. In recent years, builders have been focused on constructing larger, pricier homes, and are now realizing the growing demand for smaller, more affordable entry-level housing.
Homes priced up to $225,000 (perfect for first-time homebuyers) mean BIG competition.
This is because there are often many buyers competing with one another for homes in this price range. Buyers can make their offers stand out in a competitive offer situation by committing to a larger down payment, or by increasing the amount of their earnest money deposit.
Homes in this price range are often in a seller’s market. This is because the demand for these homes is usually greater than the inventory of available homes, creating competition among buyers. Buyers looking in this range can expect to go over asking price at times, as shortage of inventory can create “bidding wars.”
Sellers with homes priced in “luxury” price ranges may have to go the extra mile to really WOW a potential buyer.
There are often fewer buyers looking in luxury price ranges, and fewer buyers mean little or no competition. A seller can expect to offer the buyer a home warranty, pay to have their home professionally staged, or even offer to pay for some repairs or do cosmetic updates.
Whether you’re buying or selling your home for the first time, or are a seasoned pro, educating yourself on the state of the housing market and working with professionals who can help you navigate the often complex real estate landscape will put you in a better position to reach your homeownership goals.
Have a question for Tom? Connect with him on Facebook or leave a comment below!
Real estate agent Tom Lipinski knows a thing or two about buying and selling homes—he’s been helping clients from West Bloomfield to Birmingham to his current Shelby Township location do exactly that for over 20 years. Over time, Tom has built a reputation for excellent client service and results through hard work, integrity, deep knowledge of the Michigan residential real estate market, and a genuine desire to help others. Through up markets and down, Tom’s clients have always been able to count on his commitment to them, and that will never change.
