If you’re a potential home buyer in today’s market, you likely have many factors weighing on your mind. Maybe you’re comparing your own needs against higher mortgage rates and today’s prices, trying to determine if now’s the time to hop back on your home search. While less eager home buyers might wait things out to see if prices and mortgage rates fall, serious home buyers see the opportunity in today’s market.
There are a growing number of Long Beach homes for sale. And, not only that. Many homes are languishing on the market due to ineffective pricing, which means there is more opportunity for buyers to negotiate. Here’s an example: We recently had a client make an offer on a home that already had a $100,000 price reduction and had been sitting on the market for 90 days. After speaking with the listing agent, we decided to submit an offer that was under what they had the home listed at. Our offer got accepted and the home ended up appraising for $170,000 more than the contract price! That’s called opportunity.
So far this year, housing inventory has been increasing, making the prospect of finding your dream home less difficult. While there are always reasons you could delay making a big decision, there are also always reasons to consider moving forward. And having a growing number of options for your home search may be exactly what you needed to feel more confident in making a move.
Why is Inventory Increasing?
Recent data suggests that the housing supply increase is a result of softening buyer demand. As active listings sit on the market and new listings enter the market, naturally, the inventory will increase. Bill McBride, Author of Calculated Risk, explains:
“We are seeing a significant change in inventory, but no pickup in new listings. Most of the increase in inventory so far has been due to softer demand – likely because of higher mortgage rates.”
The graphs below show the months supply of inventory in Long Beach, Lakewood, and Signal Hill. If you’re unfamiliar with months supply of inventory, it simply means that if new listings ceased, it would take that many months for us to sell out of all of the active listings on the market.
Months Supply of Inventory in Long Beach, California
Months Supply of Inventory in Lakewood, California
Months Supply of Inventory in Signal Hill, California
In a Nutshell
If you’re waiting for interest rates and home prices to drop, you might be waiting for a very long time. We’re still experiencing historically low-interest rates. The inventory growth this year is certainly good news for you, especially if you’ve had trouble finding a Long Beach home that meets your needs. As inventory increases, so does your negotiating power. In this market, being proactive can land you the home of your dreams and a great deal.
To start your home search, check out all of the homes for sale in Long Beach, Lakewood, and Signal Hill below! If you’re ready to start your Long Beach home search, we can help. Give us a call at 562.896.2456.
Properties for Sale in Long Beach
Properties for Sale in Lakewood
Properties for Sale in Signal Hill
Ready to see any of these homes in person? Give us a call at 562.896.2456! One of our agents can schedule a home showing for you. If you need more information about the home buying process, check out our free Home Buyer’s Guide below. It’s packed with information to help you prepare for your home purchase.
Home Buyer’s Guide
– Reasons to Buy a Home this Summer
– Expert Insights for Homebuyers
– What You Need to Budget For
– 5 Tips for Making Your Best Offer