Local real estate agent on housing stock crisis: “It could take years”
HOLLAND – According to a local real estate agent, it could be years before housing stock catches up to the extreme sellers market created by the pandemic.
âIt’s been a really strange year in real estate,â said Briana Beyer of Coldwell Banker Woodland Schmidt in Holland. âIf anything, it has proven resilient during COVID and all of these challenges that we have faced. But we still have a national inventory shortage. “
According to the real estate site Zillow, there are 12 listings in the Netherlands between $ 150,000 and $ 275,000. Most of them will be gone within the week.
âIt’s probably going to take years to correct,â Beyer said. âWe have seen the first signs of a slowing down of the crisis. Nationally, we saw a 3.9% increase in May. In Holland, it looks like more listings are hitting the market. far from what it was. “
Beyer noted that summer registrations often come from families looking to relocate before school starts in late August, which could mean another drop in inventory this fall.
In the meantime, buyers are desperate to grab the few affordable homes on the market.
âIn the past two weeks, I have listed two homes in Holland for less than $ 250,000,â Beyer said. “They both received a minimum of 10 offers each.”
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These offers may include an inspection waiver, an escalation clause, a valuation gap and / or a significant increase in the listing price of the house.
âI’ve seen people offer sellers vacations or free moving services,â Beyer said. “They get really creative, trying to get sellers to take their offer. It’s crazy.”
A year ago, the average quote remained on the market for 15 days.
âIt was already exceptionally short,â Beyer said. âNow that number is five days. It’s pretty much standard protocol that if you list a home for less than $ 250,000 or even $ 350,000 you will set an offer deadline within. three to seven days. “
Buyers who have purchased homes in the past year are already building up significant equity as prices continue to soar.
âLast year the median price was $ 222,000,â Beyer said. âThis year it’s $ 265,000. It’s a 20% increase and it’s huge. Let’s say a house was listed at $ 150,000 last year. It would be listed at $ 180,000 or 190 $ 000 right now. And it might even sell for $ 200,000. “
While some have predicted that the current real estate market will “explode” Beyer doesn’t think we’re in a bubble.
âI think a lot of economists and agents would agree with that,â she said. âI don’t see the prices going down. We have a lot of millennials looking to buy homes right now and the lenders are onerous than ever, and Holland already has an inventory shortage.
âThe pre-pandemic is like 15 years ago. Before the pandemic, we felt like we had a fairly fair market for buyers and sellers. We have more real estate agents than listings in this country. . I hope things get easier, but it’s just it will take years to fix it. “
It may seem like a productive time for agents, but it is also exhausting.
âA lot of agents who work primarily with buyers feel exhausted,â Beyer said. “And buyers also feel hopeless and exhausted. If anything, you have to be extremely adaptable in a market like this.”