Hope everyone had a Happy Thanksgiving! Today’s Insane Seller’s Market is not going anywhere. Rather, it is setting up for an Extremely Hot 2022 market from January 1st and on. Last year there were 2,522 homes available on January 1st. By year-end, there will be less than 1,500 homes, 41% fewer than the start to this year. Low supply matched with overabundant demand, coupled by low mortgage rates, point to a hot housing market through Spring 2022.

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If you’ve never purchased a home before, you may have no idea where to begin when preparing to become a homeowner. With the crazy housing market, the real estate process can be overwhelming! These tips can help anyone feel a little more prepared for their first home purchase!

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In June of last year, housing climbed out of COVID lockdowns and resurfaced firing on all cylinders. Overnight, the real estate industry has become accustomed to tons of showings, multiple offers, and homes selling for more than their asking prices. The luxury housing market ($1.5M+) has surged right along with the lower price ranges at a record pace. Through September in Orange County, closed sales are up 30% year-over-year for all price ranges. At the current pace, sales in 2021 are the highest since 2005, prior to the Great Recession.

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Are you thinking about buying a home and just don’t know where to start? Before you even begin looking at homes, consider how much you may need to save to make the process as smooth as possible for you, especially in the long run. While there are situations where you don’t need a large down payment for a home, having one can save you money down the road.

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The housing market has been extremely hot since June 2020 and has not let up ever since. Current market dynamics point to a continued supply crisis with fewer homes entering the market, elevated demand due to historically low mortgage rates, and an insane "Days on Market" well below 40 days. All signs point to continued multiple offers, continued crowds of buyers jumping at every home listed on the market, and continued appreciation.

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Home values are increasing and will continue strong throughout the remainder of the year and into 2022. Although home appreciation is increasing at an astonishing rate, it does not mean there will be a housing bubble or an inevitable crash. There is no data that statistically supports that conclusion.

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