Spring is the time that the housing market typically picks up some speed and allows both buyers and sellers to accomplish their housing goals. This spring, however, has proven to be more aggressive than years past. The greater Grand Rapids housing market is experiencing an alarming shortage of inventory.
According to the Grand Rapids Association of Realtors there is only 1.6 months of available properties for sale. The preferred number is five to six months of inventory, which provides a good balance between a seller’s market and a buyer’s market. If no other homes were to enter the market, it would take less than two months for the current market to totally liquidate.
While this shortage is a challenge for potential buyers, it is a fantastic opportunity for sellers. The shortage of inventory has the average home sale price rising at incredible rates. The average sale price of homes in the Grand Rapids area rose from $175,562 in 2016 to $190,477 so far in 2017.
We know that it can be intimidating trying to be a buyer in today’s market. Here are six tips to help you compete in this hot housing market.
- Get pre-approved. We have many local lenders who are members willing to help greater Grand Rapids residents. Click here for our list of vetted members that can help you determine what you can afford and what to expect.
- Prioritize what you want in a home and where you want to live. You may not be able to get your whole checklist, but decide if there are some things that are non-negotiable.
- That said, be flexible with that list. You may be surprised at the gems you can find when you open up your search.
- Act quickly and be aggressive. Homes can receive 10 to 20 offers quickly following the listing.
West Michigan especially, is feeling the tight real estate market. When you’re looking to buy, sell, remodel, or fix up, the Home Builders Association is your local resource to give you the tools you need to get the job done..from dirt to drapes.