4 Reasons Why Selling in the Winter Works to Your Advantage

Contrary to popular misconceptions…winter is NOT the worst time of year to sell your home.

In fact, most home buyers who are actively looking for a home during the holiday season in the winter are the most motivated and determined buyers of the year.

Below are four compelling reasons to list your house this winter:

1. Demand Is Strong

The latest Buyer Traffic Report from the National Association of Realtors (NAR) shows that buyer demand remains strong throughout the vast majority of the country. Buyers are ready, willing, and able to purchase, and are in the market right now. More often than not,
in many areas of the country, multiple buyers are competing with each other to buy the same home.

Take advantage of the buyer activity currently in the market.

2. There Is Less Competition Now

Inventory is still under the 6-month supply needed for a normal housing market. This means in the majority of the country, there are not enough homes for sale to satisfy the number of interested buyers.

Historically, a homeowner would stay an average of six years in his or her home. Since 2011, that number has hovered between nine and ten years. There is a pent-up desire for many homeowners to move since they were unable to sell over the last few years due to negative equity situations. As home values continue to appreciate and homeowner equity grows, more and more homeowners will be given the freedom to move.

Many homeowners were reluctant to list their homes over the last couple of years, for fear they would not find a home to move into. That's all changing now as more homes come to market at the higher end. The choices buyers have will continue to increase with new construction, too. Don’t wait until additional inventory comes to market this spring.

3. Buyers Are Serious At This Time of Year

Traditionally, homeowners think about spring as a great time to list their homes, when more buyer traffic may be out there actively searching. In the winter, however, the buyers who are seeking a home – whether for relocation purposes or otherwise – are serious ones. They’re ready to make offers and they’re eager to move, often quickly. Your house may be exactly what they’re looking for, so listing now while other potential sellers are holding off may be your best opportunity to shine.

4. There May Never Be a Better Time to Move Up

If your next move will be into the premium or luxury market, now is a great time to move up. There is currently ample inventory for sale at higher price ranges. This means if you're planning on selling a starter or trade-up home and moving into your dream home, you’ll be able to do that now. Demand for your entry-level or middle-tier home is high, and inventory in the luxury or premium market is too.

According to CoreLogic, prices are projected to appreciate by 5.6% over the next year. If you’re moving to a higher-priced home, it will wind up costing you more in raw dollars (both in down payment and in your mortgage) if you wait.

Bottom Line

Selling your house and moving up sooner rather than later could lead to substantial savings and may end up being your best option in the current market.

Temecula and Murrieta Market Update, March 2019

I am seeing some great activity within the Southern California real estate market and am excited to announce that interest rates are still very low...and would you believe me if I told you they actually dropped???  

Check out this artice I received from a lender resource this week, Cooler home spring buying market? Not necessarily with rates now at 12-month lows.

With rates staying low and home prices slashed by some sellers who have been hanging around on the market since listing in the fall, I believe it's a great time to buy a home.  I think many buyers have caught onto the price reductions and lower interest rates, and will continue to drive sales.

Temecula's Closed Sales Update 

4+ bedroom home sales increased from 60 units in January to 65 in February

3 bedroom home sales closed units increased slightly from 35 to 37 January to February 

We see a very large increase of average sales price in 3 bedroom detached homes in Temecula from January's $417,562 to February's $493,292!!!

 4+ bedroom detached homes saw an average sales price decrease though, from January's $607,813 to February's $563,615.  

Murrieta's Closed Sales Update

Murrieta is going to be where we will notice significantly more activity.  We see an increase in closed sales in all of Murrieta's 4+ bedroom detached homes jump from January's 61 units to February's 86 units!  

3 bedroom detached homes closed in Murrieta rise from January's 26 units to February's 37!!!  An increase of 25 more homes! 

Average sales price for Murrieta's 3 bedroom homes grew exponentially in 92562:

92562 in January: $369,154 to $421,121 in February

92563 in January: $391,515 to $401,479 in February

Sales price averages for Murrieta's 4+ bedroom homes saw a decline along with Temecula, from:

zip 92562 in January: $597,528  to  February: $554,915

zip 92563 in January: $458,313  to  February: $452,338

DOM (Days On Market)

Temecula 3 bedroom homes were at 41 DOM in January and increased to 58 in February

Temecula 4+ bedroom homes DOM have remain unchanged between January and February at an average of 65 days.

Murrieta DOM:

92562 DOM for 3 bedroom homes was 47 in January and increased slightly to 53 in February

92563 DOM for 3 bedroom homes in January was at 49 and jumped quite a bit to 74 in February.

92562 DOM for 4+ bedroom homes in January was 81 and then dropped to 71 in February.

92563 DOM for 4+ bedroom homes in January was 75 and then dropped to 63 in February.

3 bedroom homes have taken the lead in both Temecula and Murrieta

Even though we see the 4+ bedroom prices decreasing the last few months, we should remember that many of these homes have had price reductions after having been listed in the fall and are trying to chase after home buyers when the interest rates increased.  Many homes are being re-listed after having now expired, and are re-listing at their original prices.  I don't know the future, but I believe we might yet see prices increase over the next month or two in that 4+ bedroom bracket as sellers and new home sellers ask higher prices and buyers moving to buy while interest rates are low.

Please share this with anyone you know who may be thinking about selling their home or getting into the market to buy one.

I am also sending out specific area updates to clients in Orange County and San Diego.  If you feel that those areas would interest you, please send me an email and I will be sure to add you in to the interest list.