It’s officially 2022 and the Waxhaw area real estate market is already heating up. Real estate markets across the country witnessed record setting home values and sales over the last 2 years and 2022 isn’t showing signs of letting up. As we continue to move through these first few weeks of the year, we’re expecting to see a continuation of the real estate frenzy that was 2021.
The first indicator I review for a new years’ market prediction is the current number of listings on the market and the average days on market. This information is key to developing a picture of our market health and helps me to understand what options exist for buyers and what competition exists for sellers. Sellers have been conditioned over the last 2 years to expect a hot sellers’ market due to the limited listing options and lack of listing competition. Buyers have been conditioned that sellers expect over asking offers and limited contingencies. Both are correct, but you must look at the long- and short-term gains and goals of buying and selling to truly understand how to be competitive as both a buyer and a seller.
Market Statistics for Early 2022
Current, on market, listings are one of the major indicators of our market health and what to expect as we continue into the first quarter of a new year. We obviously can’t predict the entire year off the first few weeks, but it does help us to understand how many listings are needed to reach a market equilibrium. Market equilibrium is usually defined as the number of listings it takes to have 6 months of inventory. Meaning, that there would be one buyer for every home listed and it would take 6 months to sell all of those homes with no new inventory coming to the market in that time. We have not been at market equilibrium for a long time as we continue to have a large influx of transplants to the area.
As of today, we have 51 Single Family Home listings in all of Waxhaw across all price points. This means that we have less inventory today than we’ve had any month of the last 5 years. Now, keep in mind that this is just a snapshot of todays inventory and more listings come available every day, but this is an insanely low number of available listings.
Average Days on Market, or DOM, is another large indicator of the competition factor of listings and what buyers need to understand and expect when searching for a home. Today, the average DOM for homes in Waxhaw is just 4 days. This is the lowest average DOM we’ve had since January of 2021 when our average DOM dropped to 6 days, meaning it’s even more competitive than it was a year ago.
What Sellers Should Consider
Homeowners looking to sell are constantly hammered to get the best and highest price for their homes. Homes are selling fast and each new sale seems to be setting new neighborhood records. It’s not uncommon right now to see homes that were rushed to the market with bad photos, poor staging or home design, and improper or incorrect listing characteristics and statistics. Sellers need to take the time to hire a licensed and professional Realtor that knows how to make their home stand out, but can also ensure accurate information is being presented to buyers. With as quickly as homes are selling buyers are relying on the information presented by Realtors and Homeowners to make huge financial decisions. Having rushed and incorrect information can mean large consequences down the road. Avoid issues by taking your time and hiring the right Realtor for the job.
What Buyers Should Consider
Buyers need to understand that this market is very much in the sellers’ favor and there are many things that can be done to ensure success when looking for a home. First, hire a licensed Realtor in the area that understands the market and has firsthand experience negotiating with sellers and their agents. Second, be ready and prepared to tour homes quickly. If a home hits the market make sure your Realtor can accommodate showings in as little as 1-2 days of a property coming available. Third, have a pre-approval or pre-qualification letter completed before touring homes so when it’s time to submit the offer you have everything ready. Lastly, make sure to understand the contract and your offer and take the time to go over it with your Realtor. Know the specifics of the house and don’t get caught in a difficult situation agreeing to something you don’t actually want.
As always if you’re looking to buy or sell a home in Waxhaw please consider Matt Briggs Lawson and the Briggs American Homes team for all your Real Estate needs. We’re here to make you successful and help in any way that we can to achieve your real estate dreams. Call (980) 250–2795 for a consultation today.
Matt Lawson, MBA is the Owner and Broker in Charge of Briggs American Homes, a real estate team at Keller Williams Ballantyne area. Matt lives and operates his business right here in Waxhaw, NC and is passionate about all things Real Estate.