Kayla is in town so we were trying to do the more-professional looking videos, which for me means doing a more-formal introduction of myself for those new to our Instagram channel.
On the same day, Robert Reffkin appeared on CNBC and said that research shows that inventory will climb another 15% in 2025 – which is what I said! Many observers will shrug it off and declare that we’re just normalizing back to pre-pandemic levels, but pricing has increased over 60% since then:
Will prices drop to adjust for more inventory?
There probably won’t be much movement on price early in the year, because sellers will be thinking about the spring selling season blah blah and they will be much more comfortable waiting until summer before looking for the panic button. They’re not in a hurry, and they’re not going to give it away!
The one thing we know for sure: Home sellers will want to get what the last guy got. Nobody is going to be listing with a low price in the first 3-6 months of 2025.
The results will all be up to the buyers – are you willing to pay the same prices for homes when active listings are piling up unsold? Everyone will expect you to!
Pre-pandemic levels for NSDCC are a long ways off though:
NSDCC Annual Inventory:
2019: 4,763
2020: 4,507
2021: 3,634
2022: 2,862
2023: 2,429
2024: 2,778 (+14% YoY)
Add another 15% and it will be 3,195 for 2025.
List ≠ Selling. I expect a huge increase in “make me sell” priced properties. Especially with the transition to concierge listing agency. Heck, why not shoot the moon if your agent says in six-eight weeks we come back with a more reasonable price. No harm no foul.
Nota bene; My wild azz guess for the contest is so high because of this.