Home sales in LBAR’s 26-county region have increased for the second straight month and median prices have followed suit. For March, sales jumped by 4% and prices increased 3% year-over-year. For the first quarter, sales were up 3.8% and prices saw an uptick of 2.6%.
“The market is hot going into the spring, which most in the industry predicted,” said Al Blevins, 2019 president of LBAR. “The data we see for the upcoming months also looks positive as pending sales are showing an increase and have increased every month in the first quarter. Continued inventory increases coupled with a bump in new listings is also a good sign for real estate in the Bluegrass region.”
In Fayette County, the market is lively as well. Sales were up 7% for the month and the median sales price was up 3%. New listings jumped 4% for the month and the months of inventory increased 6%. For the quarter, Fayette County saw pending sales up each month versus the previous year. Days on market dropped 7% as more buyers entered the market and snapped up homes at a faster pace in March.
Buyers have been limited in selection for some time now and this new trend opens up choices for those looking to purchase as well as bringing discouraged buyers back into the market. Buyers will enjoy a more favorable market for the next several months as more and more listings become available. Blevins added, “The spring months, typically the second quarter, which starts in April, is when most people list their homes for sale. With interest rates still at historically low levels, the real estate market will continue to be extremely strong throughout the Central Kentucky area.”
Mortgage rates have, in fact, continued to hover at historic lows and increases may not be seen any time soon. Lawrence Yun, NAR chief economist, stated that he does not anticipate any interest rate increases from the Federal Reserve in 2019 and, if there is any change at all, it may be lower rates through 2020. Good news for those in the market for a new home this spring.
01. Be sure you are pre-approved before you start seri-ously looking at houses. You want to be able to make the strongest offer you can when you fall in love with that perfect house!
02. Hire a Realtor who will work on your behalf to help you find the best properties that fit your needs — oftentimes your agent will help you discover a neighborhood you didn’t know about or show you a home before it hits the market!
03. Focus on the area you want to be in more than on the house itself. The house can always be updated to fit your wants & needs, but you usually can’t do much about the land around you. As they say, real estate is all about location, location, location.
01. Basic staging and cleaning goes a long way. It is important that buyers can see themselves living in your home and having too many personal items makes that hard to do.
02. Don't get greedy with pricing. It's important to consider the comps and price your house according to those rather than what you want for it. If you inflate your price, you're going to turn buyers off or run into appraisal issues.
03. Be prepared and flexible with showings as soon as your Realtor lists the property!
With homes moving so quickly in the market, it is more important than ever to have representation. Local agents know the market, understand the comps, and have the connections and skills to help you sell and buy a home aster.
Without representation, it is easy to get caught up in the moment and skip some of the obvious measures that will protect you as a buyer or seller. Hiring a Realtor helps mitigate these risks and allows you to have confidence in your real estate decision!