Navigating the Seller’s Market: Selling Your Home in Los Angeles and Beverly Hills.
Navigating the Seller's Market: Selling Your Home in Los Angeles and Beverly Hills | Christophe Choo at Coldwell Banker Global Luxury is Your Local Real Estate Expert.
Why It’s Still a Seller’s Market Today: Taking a Closer Look at Los Angeles and Beverly Hills, CA
Even amidst the shifts in the housing market, which have seen a departure from the fervor of the 'unicorn' years, it's important to note that the seller's market is still very much in play. This phenomenon persists due to the limited supply of homes available for sale. But what exactly does this mean for homeowners, and why are the current conditions particularly favorable if you're contemplating selling your house? Let's delve into these aspects, with a special focus on the unique dynamics of the Los Angeles and Beverly Hills real estate scenes.
Examining the latest data from the National Association of Realtors (NAR) in their Existing Home Sales Report, it's evident that the supply of housing remains remarkably scarce. The measure of housing inventory considers the number of homes currently listed on the market, alongside the concept of months' supply – an indicator of how long it would take to sell the available homes at the current demand level. A balanced market typically maintains a roughly six-month supply of homes. However, in the current landscape, the available inventory only accounts for about 3 months' worth of sales activity (as depicted in the graph below):
This visual representation unequivocally underscores that the present scenario remains a seller's market. The supply-demand balance continues to lean heavily in favor of sellers.
In contrast to a balanced market, the existing months' supply metrics reveal a market significantly skewed in favor of sellers. In fact, the current months' supply is merely half of what is deemed typical in a normal market. This glaring discrepancy emphasizes the insufficiency of available homes to satiate the ongoing buyer demand, especially in the context of the vibrant Los Angeles and Beverly Hills real estate markets.
According to Lawrence Yun, Chief Economist for NAR:
“The scarcity of homes for sale is striking. The market could easily accommodate a doubling of available inventory.”
The Advantages of Navigating a Seller's Market: For sellers, the prevailing conditions represent a substantial advantage. Presently, there exists a pool of buyers who are not only eager but also fully prepared to make a home purchase. Given the limited number of homes up for grabs, those that do become available tend to attract buyers like magnets. This holds particularly true for the sought-after locales of Los Angeles and Beverly Hills, where demand for premium properties remains consistently high.
Collaborating with a local real estate agent to list your property right now could yield impressive results. A well-maintained house listed at the appropriate price has the potential to garner significant attention. In fact, multiple offers could even become a possibility, further enhancing your selling experience.
In Conclusion: The current seller's market scenario positions you advantageously when it comes to selling your home. With supply remaining scarce, your property is poised to capture the attention of motivated buyers who are eagerly seeking additional options. If you're contemplating entering the market in the Los Angeles or Beverly Hills area, it's essential to comprehend the unique dynamics at play. Connecting with professionals familiar with these markets will empower you to navigate the current landscape with confidence.