An Empty Nester's Market

There's nothing new to report when I say there is a shortage of houses in the market. The demand is ever rising but homebuilders aren't erecting houses to meet the demand. The land isn't being sold, the permits aren't being filled and good help is difficult to come by. 


With the market the way it is, it's clear as to why it belongs to the sellers. Realtor.com has claimed that the average time a home sits on the market across the nation is 3.6 months. These are unseen level since January 2005. 


Dallas, TX's average is 42 days, Seattle is 36, while the country's average is 90 days. And to add the fact that interest rates just rose; buyers become a bit more motivated. With mortgage rates expected to rebound, buyers are thinking now is the time to jump in the market. Home prices are raising at twice the rate of average hourly wage, and twice the rate of inflation. Not the best news for first-time buyers, but it could be worse. 
On the other hand it's great news for empty-nesters and other homeowners who are looking to downsize. 

Developers have catered to this demographic by building luxury condominiums in major markets. Baby boomers are selling their ginormous estates and downsizing to accommodate their needs, so developers saw this as an opportunity.

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