More Homes Listed in January 2024 than in January 2023

 

As we step into the new year, the real estate market is already showing signs of vitality and resilience.  Realtor.com revealed a promising trend - there are more homes listed for sale in January 2024 than in the same month last year, marking a positive start for the real estate sector.  It should be also be noted that this is the first uptick we have seen in homes listed for sale in January since 2019!

THE SURGE IN LISTINGS:

The video highlights a noticeable increase in the number of homes listed for sale in January and is a positive indicator for both home buyers and sellers, suggesting a potential shift in the dynamics of the real estate landscape.

FACTORS DRIVING THE INCREASE

Several factors contribute to this uptick in home listings.  One key factor is the steady economic recovery following the challenges of the previous year.  As confidence in the market grows, homeowners are becoming more willing to list their properties, anticipating favorable conditions for both buying and selling.

LOWER MORTGAGE RATES

Although we are not back at the 3% fixed rate mortgage (and most likely will not be any time soon), mortgage rates have dropped from their highs of last year's 8%+ to around the mid 6% level.  With borrowing costs becoming more favorable, potential home buyers are motivated to enter the market, driving demand and encouraging sellers to list their homes.  This harmonious balance between supply and demand is fostering a healthier and more active real estate environment.

WHAT ABOUT RICHMOND AREA

While the video shows an overall increase in the number of homes which came on the market in January 2024 for the entire country, we really should be concentrating on our area - Richmond!  So how did we do?

• For all of the CVRMLS (which includes the entire area, including counties that I don't normally work in), 
• the number of homes listed in January increased 5.6% from 2023.  
• Condos saw the biggest percentage increase (going from 259 units listed in January 2023 to 314 listed in January 2024).  
• Single family homes also saw an increase - going from 1,284 homes listed in January 2023 to 1,315 homes listed in January 2024.  
• New construction saw an increase in the number of homes listed:  403 listed in January 2024, compared to 363 listed in January 2023.  
• By price point, homes priced under $269,000 saw decreases between January 2024 and January 2023 listings!  This would make sense, given how prices continue to increase.  

OPPORTUNITIES FOR BUYERS

For prospective homebuyers, the increased inventory presents an opportunity to explore a wider range of options and potentially negotiate more favorable terms.  As the market becomes more competitive, buyers may find themselves in a stronger position.  In a stronger position, especially when armed with comprehensive market knowledge.

STRATEGIC CONSIDERSATIONS FOR SELLERS

Sellers, on the other hand, should approach the market strategically.  While increased competition can be beneficial for buyers, sellers can stand out by ensuring their properties are well-presented, properly priced, and marketed effectively.  Seeking guidance from real estate professionals can be valuable in navigating this evolving landscape.

CONCLUSION

The video showcasing more homes listed for sale in January 2024 than in January 2023 is a promising start for the real estate market this year.  As the economy continues to rebound and mortgage rates continue to lower, the stage is set for a dynamic and resilient real estate landscape.  Whether you are a buyer or a seller, staying informed about market trends and regional variations will be crucial in making well-informed decisions in this evolving environment.