Temperatures Are Cooling But REALTORS® Are Anticipating a Hot Real Estate Market This Fall
Milder temperatures have made their way into the Kansas City region, but one thing that isn’t cooling down is the local real estate market. As we welcome the start of fall and look ahead to the final quarter of 2020, we are anticipating continued demand and increased sales activity.
Due to a lack of inventory and the challenges of the pandemic this year. REALTORS® and their clients have been navigating a climate of multiple offers and same-day sales – especially in highly sought after areas and price points.
While seasonal slowdowns are normal and expected for the real estate market, those market changes have been rather modest in recent years due to an ongoing inventory shortage. A similar scenario is expected this fall and winter, with a declining supply of homes on the market across the region. In fact, the inventory of homes on the market is down considerably compared to this time last year, leaving the Kansas City region with just a 1.1 month supply of homes for sale. By comparison, a balanced market (one equally favoring buyers and sellers) would be a 5 to 6 month supply of homes.
Pent up demand for new inventory is expected to keep the market busy throughout the remainder of 2020. This adds up to a highly advantageous scenario for sellers who are considering selling this fall and winter. Buyer demand combined with low interest rates has resulted in not just fast sales, but also increased prices for many areas of the region. Currently, the average sale price across Kansas City is up more than 11% over 2019.
According to Bobbi Howe, president of the Kansas City Regional Association of REALTORS®, the pace and complexity of the current market makes it even more essential to partner with an experienced REALTOR® early in the buying or selling process.
“A home sale or purchase is typically one of the largest financial decisions in a lifetime, and in a fast-paced and highly competitive market, it’s incredibly important to have a professional guiding you,” Howe said. “And with homes moving from listing to contract within such a short window of time – sometimes within a day, a REALTOR® will have a pulse on the market through access to the local multiple listing service to keep you informed as soon as new listings enter the market.”
Howe believes that what the market needs most at this time is listings.
“With so much demand in the market right now, if a homeowner is even slightly considering selling their home, it’s worth a call to a REALTOR® to get a professional assessment and advice on how and when to move forward.”