Remember, Delaware housing trends don’t always follow national trends.
National housing news headlines are often at odds with our local Delaware real estate market. For instance, a recent article featured on Realtor.com touts the “5 Big Reasons to Sell Your Home This Year (Because It Could Get tougher).” Let’s explore each of their reasons and how each stacks up for the Delaware real estate market.
Their #1 reason: You won’t be the only listing for long.
How this relates to Delaware: On a national scale, they refer to your competition as “other homes listed for sale in your neighborhood.”In Delaware, your competition is more likely to be all the new home communities. Yes, there are plenty of buyers. And yes, prices have gone up but the competition you face is the new construction home, not just the other existing homes which may be listed. This is particularly true in pricier locations and communities.
Their #2 reason: You still stand to make a “handsome profit.”
How this relates to Delaware: This is a difficult blanket statement because it all depends on when you purchased the home. If you bought during the past 5 years and now want to sell, you are not necessarily going to make any profit. Again, the new construction is tough competition, especially if the home you want to sell is in one of the communities where they are still building new. Why would a buyer purchase your home instead of having one built new to their specific taste?
Their #3 reason: There’s high demand for homes under $300K.
How this relates to Delaware: In this case, they are spot on. If you have a one-level home in a nice community and a good location for under $300K, we have lots of buyers ready to buy. These buyers may be coming from out of state, ready to retire, and their budget tops out at $300K. We have very little to show them.
Their #4 reason: Mortgage rates are at a new low.
How this relates to Delaware: If you are thinking of selling, now is the absolute right time based on current mortgage rates, regardless of whether your home is in Delaware or one of the surrounding states. For those planning to retire, it is more important to you as the Seller, since your Buyers are probably Millennials that will need to obtain a mortgage to purchase your home.
Their #5 reason: Millennials are flooding the market.
How this relates to Delaware: Millennials are finally getting in the housing market, and this trend continues in 2019. For those nearing retirement age, there may never be a better time to sell your family home, even if you are not quite ready to relocate.
In summary, Delaware sometimes trends with the national market, but often it does not. Have questions around what’s ideal for you and your home situation? Let’s schedule a time to chat. We keep our finger on the pulse of local real estate as well as how national trends may, or may not, impact our area. We’re happy to share our resources to help you make an informed decision whether you are buying or selling.
Related posts of interest: