If you’ve been thinking about selling your home, competition may be coming sooner than you think.
Home inventory has been climbing steadily
It’s not surprising to see a good number of homeowners are choosing to list their home during the summer months due to buyer demand being much higher than what the current inventory of homes can accommodate. WIth the last quarter of the year approaching fast, more competition from other sellers will probably have an impact on how soon you choose the sell, especially if you have been holding off for the best time to do so.
We have seen a steady rise in the number of new listings and active listings each month since the beginning of 2018 and the trend has continued in July. This translates to a growth in monthly home inventory as well. More inventory of course will mean more competition. Ideally, anyone looking to sell their home should do so with less competition from other active listings.
“The market is experiencing a leveling off after last year’s record prices and paces,” said Darryl Macha, president of the Honolulu Board of REALTORS®. “However, new listings for both single-family homes and condominiums on Oahu were up again last month, as were active listings, a positive indicator of steady housing inventory for homebuyers."
The Prices of Homes are Increasing
Another reason to consider selling now is the fact that home prices for most Oahu neighborhoods have increased from the same time last year. Some of the neighborhoods that have seen the most significant increase include: Aina Haina - Kuliouou with a $1.67 million median sales price July 2018 compared to $1.07 million in July 2017 (up by 56%), Kalihi - Palama homes had a median sales price of $950,000 in July 2018 compared to $640,000 in July 2017 (up by 48%). Waialae - Kahala homes had a median sales price of $1.9 million in July 2018 compared to $1.5 million in July 2017 (up by 26%).
If you have a home in the Pearl City - Aiea area, you’ll be happy to hear that there wasn’t just an increase in Median Single Family home price ($805,000 in July 2018 compared to $745,000 in July 2017, up by 8%), but we also saw an overall increase of 9% in closed sales since last year (24 closed in July). There were 29 closed condo sales in Pearl City - Aiea in July 2018 compared to only 19 in July 2017 (up by 53%)
The Bottom Line
Not only should you take advantage of the high demand for homes in the Oahu market, but you should strongly consider to strike while the iron is hot. More competition is coming as inventory continues to increase.
Listing your home now while inventory is still not enough means you will get a better price on your home as buyers try to outbid each other. You can also expect a quicker sale and fewer hassles as buyers have such little inventory to choose from and will not want to jeopardize any deal with a long drawn out negotiation.
If you are curious to know about market conditions in your neighborhood, we are more than happy to sit down with you and discuss options for selling your home. Please call Team Lally at 799-9596 to schedule an obligation free consultation with one of our listing specialists.