The number one question for most homebuyers currently is: “What is going on and why is it so hard to find a house to buy?”
It all started in 2008, when up to this point, builders exceeded their goals. This resulted in an oversupply of homes on the market and home values declined. At the same time, an estimated 20 percent of mortgages in 2005 and 2006 went to people who would not have been able to qualify under normal lending requirements. The housing crash in 2008 was due to the default of mortgages from those unable to repay. Foreclosures and the oversupply of new homes caused properties to lose value, hitting builders hard. The level of new home construction dropped and did not rebound until 2016.
The pandemic hitting the US and people being trapped at home, made many tenants and homeowners focus on the meaning of a home; more space was needed. Condo owners started to buy townhomes and townhome owners bought single family homes. Interest rates below 3% fueled tenants’ thoughts of owning their own home. Having a safe space to live and work became more and more important for Americans all over the country. This also led to hesitation among sellers, thereby creating a housing shortage and increased prices.
As a result, the number of homes available on the market dropped
Navigating the home buying process can be tricky these days. Flexibility and creativity are needed. But with my knowledge and expertise, I can help you, even in these difficult times, to find what you’re looking for.
by Andreas Leindecker, Realtor, 571.685.9831
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