It’s a good time to sell for most U.S. homeowners

The number of homes of the selling block has declined consistently in the past two years, but the National Association of Realtors (NAR) expects a turnaround as a new study revealed that a large number of homeowners are optimistic about selling their property.

NAR said in a report that 71% of the respondents to a recent survey believe now is a good time to liquidate their real estate assets.

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According to the quarterly NAR Housing Opportunities and Market Experience survey, “fewer renters think it’s a good time to buy a home, and respondents are less confident about the economy and their financial situation than earlier this year despite continuous job gains.”

The report also said that the current rate of homeowners who are willing to sell is higher than the 69% registered last quarter and is significantly higher compared to a year ago, which was recorded at 61%.
Lawrence Yun, NAR chief economist, observed that there is a current gap in supply and market demand for housing.

“There are just not enough homeowners deciding to sell because they’re either content where they are, holding off until they build more equity, or hesitant seeing it will be difficult to find an affordable home to buy. As a result, inventory conditions have worsened and are restricting sales from breaking out while contributing to price appreciation that remains far above income growth,” Yun explained.

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He went on to say, “Perhaps this notable uptick in seller confidence will translate to more added inventory later this year. Low housing turnover is one of the roots of the ongoing supply and affordability problems plaguing many markets.”