According to Redfin the “sale-to-list price ratio,” a metric identifying how close the market is to selling at listing price, homes were selling for 99.6% of their asking price during the first half of February 2021 and rising to 99.9% at the end of the month. This signals a very strong seller’s market, which is supported by a myriad of evidence. When the “sale-to-list price ratio” is this close to a 1:1, housing prices tend to increase.
During February 2021, the median home price was up 16% from February 2020 sat around $323,600.00 (down from the record high of $347,475), which is the highest it’s been in half a decade. Another indicator that this is a seller’s market, and that prices will increase, is the speed at which homes are coming off the market; in February 2021, 55% of homes were grabbed up within 2 weeks of entering the market; this is up 11% from February 2020.
While mortgage rates are slowly increasing, currently at 3.02%, the number of mortgage applications were up by 2% week-over-week on February 26, 2021. All-in-all, the market heavily favors the seller at this point in time.
At the Chernov Team we understand that knowledge is power, and knowledge of how the market is leaning is powerful knowledge indeed. At the Chernov Team we know that whoever comes to the table most prepared leaves with the most, and the Chernov Team always leaves the table with the most.