The global pandemic has put many aspects of life on pause. Travel plans have been canceled. Weddings have been pushed back. For many Americans, the decision to buy or sell real estate falls into this category.
With less money to spare, many sellers decided against putting their homes on the market. Delistings at the end of last March were 150% higher than delistings the year before. Additionally, unemployment rates skyrocketed, prompting a lot of potential buyers to hold back on their searching. Overall, the real estate market looks pretty bleak throughout the country.
Fortunately, Alaska is not like the rest of the country.
Unemployment rates, while still high, are lower than they are in many other places. And while the housing market appears to be on “pause” throughout the United States, low supply and lower interest rates are making buyers and sellers very happy right here in the 49th state.
Low Supply Means High Demand, Which Helps Sellers...
Let’s take a look at Anchorage as an example. Right now, it’s a seller’s market in Anchorage at pretty much all price ranges.
For an area to be a seller’s market, there must be less than four months of inventory on the market. When you look at the homes priced between $100,000-$549,999, there is less than three months of inventory.
The only price range with more than four months’ supply of houses is $700,000-$799,999. With 4.9 months’ worth of supply, this range is still labeled a “balanced market.”
With fewer homes available, buyers have fewer choices. Sellers are able to stand out, especially if they are advertising online. If your clients decide to sell right now, there’s a pretty good chance they’ll have buyers flocking to their door (or, more likely, to a FaceTime tour set up by you!).
… But Low Interest Rates Help Buyers
Not all sellers across the country are having the same luck as those in Anchorage. The global pandemic has made it hard for many homeowners or investors to maintain their properties.
So, to encourage buyers to take a look at the market, lenders have significantly lowered interest rates. This is an added bonus for Anchorage homeowners and soon-to-be homeowners. Lower interest rates bring more buyers out of the shadows and give them a higher budget to work with.
Homeowners also have the opportunity to refinance with these lower interest rates. Buying a house after selling also becomes an easier and faster process. Everyone wins!
Bottom Line? Don’t Be Afraid to Make Big Moves!
Don’t let news stories from other parts of the country worry your clients. If they are interested in selling in Alaska right now, tell them to take the plunge.
When they do, we can help you make sure that their home stands out on the market, so that buyers who are taking advantage of low interest rates notice it. Professional photography, virtual tours, and 3D tours will not only attract more buyers, but also help you sell homes for more.
Contact DMD Real Estate Photography for more information on how you can make your listings stand out.