Find out why you need to list your Santa Barbara property now
The Associated Press reports two trends are affecting the U.S. housing market right now and they both benefit sellers. First, home prices rose steadily in February, increasing by 5.8%, the most in 32 months. Why? The answer is simple. There were more buyers and fewer available properties, even right here in Santa Barbara. Will this trend continue? Many analysts say no, such strong price gains and slightly higher mortgage rates may eventually cool off demand. What does that mean for those people considering selling their home in Santa Barbara? Sell now!
Right now, sales of new and existing homes are robust across the country. Just last month, sales of existing homes reached their highest level in a decade while the number of houses for sale has dropped to the lowest level in nearly 20 years. That makes finding your dream home a tough challenge. However, homeowners have benefited from the sharp price gains of recent years. As I shared in a previous blog, mortgage rates are up from last year’s record lows.
Those two trends “could put a dent in homebuyer demand and overall price growth,” said Svenja Gudell, chief economist at real estate data provider Zillow. “Those changes won’t necessarily be unwelcome, especially in some rapidly growing coastal markets in which buyers, sellers, and renters could all use a breather.”
Home builders are ramping up construction to meet the healthy demand. In fact, groundbreakings on new homes rose 8.1% in the first three months of this year compared with 2016. And the supply of new homes available for sale in February climbed to a seven-year higher of 266,000.
Don’t miss this opportunity to take advantage of these two trends that are affecting the housing market. If you are considering selling your home in Montecito, Hope Ranch or any of Santa Barbara’s upscale communities, I suggest you act now. The Fed still plans to raise mortgage rates at least two times in 2017. Just call me at 805.886.9378 or email me at Cristal@montecito-estate.com and let’s make a record sale!