- We typically see a significant increase in listings when the weather warms up
- COVID-19 put an emphasis on home but we are now beginning to see a return to normalcy
- Interest rates are beginning to adjust upwards and buyers may feel increasing pressure to buy
As the predominant real estate group in New Albany for 20+ years, we have developed an excellent feel for the market’s cadence. We know that when the weather turns and it begins to warm up, typically, we see a significant lift in inventory. Thus easing the supply and demand strain that we feel in late winter/early spring. Initially, the surge of listings gets absorbed by a large number of active buyers in the marketplace. However, after 4 to 6 weeks of consistent increases in listings, we begin to see buyers take a step back. They realize that there will be more options if the current listings don’t meet all their needs. It generally becomes a slightly less competitive environment.
COVID-19 Impact on the Market
What we saw last year during the lockdown was housing became the highest priority for people. It was the most important thing. Now that we’re beginning to see the return of normalcy, I think we’re going to see the emphasis people are putting on their home pulled back some now that the pandemic is, hopefully, nearing its end. The pandemic caused people to need more space or a home change due to working remotely or homeschooling. It might not be as much of a driving force going forward. As offices begin to welcome employees back and families are permitted to travel more, it’ll be interesting to see how the market continues to adjust.
Clients should note that interest rates have begun to adjust upwards, and as buyers start to see the impact on their monthly payment, they feel increasing pressure to purchase before rates go higher. The expectation was that rates would adjust upwards, and that would settle down the buyers. However, my short-term prediction is that the trends of rates increasing will cause people to almost panic buy. They’ll feel like if I wait six months, I might be paying $100 more per month, so I might as well get locked in now.
Columbus Housing Shortage
The Columbus housing market is experiencing a shortage of homes. We have several qualified buyers looking for a new place to call home. It’s never too early to chat about your real estate options for 2021.
Whether you’re downsizing or you’re looking for more space, reach out by emailing anyone on our team or giving us a call at (614) 939-1234. We really look forward to hearing from YOU!