[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"$f19ntxxcj1dy3p":3,"$f2emv3tus0uf1":43,"$fbwk2pqjjqsc7":47},{"item":4,"previous":31,"next":37},{"id":5,"slug":6,"title":7,"description":8,"excerpt":8,"contentType":9,"featuredImage":10,"bannerImage":11,"body":12,"agentsBottomLine":13,"bodyImage":14,"isInfographic":15,"categories":16,"isVideo":15,"videoThumbnail":11,"videoSource":11,"publishedAt":29,"updatedAt":30},1937,"a-look-at-housing-supply-and-what-it-means-for-sellers","A Look at Housing Supply and What It Means for Sellers","One of the hottest topics of conversation in today’s real estate market is the \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F06\u002F15\u002Fhope-is-on-the-horizon-for-todays-housing-shortage\u002F\">shortage of available homes\u003C\u002Fa>. \u003Cstrong>Simply put, there are many more potential buyers than there are homes for sale. \u003C\u002Fstrong>As a seller, you’ve likely heard that low supply is good news for you. It means your house will get more attention, and likely, more offers. But as life begins to return to normal, you may be wondering if that’s something that will change.","blog","https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F26170003\u002F20210727-KCM-Share0.jpg","","One of the hottest topics of conversation in today’s real estate market is the \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F06\u002F15\u002Fhope-is-on-the-horizon-for-todays-housing-shortage\u002F\">shortage of available homes\u003C\u002Fa>. \u003Cstrong>Simply put, there are many more potential buyers than there are homes for sale. \u003C\u002Fstrong>As a seller, you’ve likely heard that low supply is good news for you. It means your house will get more attention, and likely, more offers. But as life begins to return to normal, you may be wondering if that’s something that will change.\u003C!--more-->\r\n\r\nWhile it may be tempting to blame the pandemic for the current inventory shortage, the pandemic can’t take all the credit. While it did make some sellers hold off on listing their houses over the past year, the truth is the low supply of homes was years in the making. Let’s take a look at the root cause and what the future holds to uncover why now is still a great time to sell.\r\n\u003Ch4>\u003Cstrong>Where Did the Shortage Come From?\u003C\u002Fstrong>\u003C\u002Fh4>\r\nIt’s not just today’s high buyer demand. Our low supply goes hand-in-hand with the number of new homes built over the past decades. According to Sam Khater, VP and Chief Economist at \u003Ca href=\"http:\u002F\u002Fwww.freddiemac.com\u002Fperspectives\u002Fsam_khater\u002F20210415_single_family_shortage.page\">\u003Cem>Freddie Mac\u003C\u002Fem>\u003C\u002Fa>:\r\n\u003Cblockquote>\u003Cstrong>\u003Cem>“The main driver of the housing shortfall has been the long-term decline in the construction of single-family homes.”\u003C\u002Fem>\u003C\u002Fstrong>\u003C\u002Fblockquote>\r\nData in a \u003Ca href=\"https:\u002F\u002Fcdn.nar.realtor\u002Fsites\u002Fdefault\u002Ffiles\u002Fdocuments\u002FHousing-is-Critical-Infrastructure-Social-and-Economic-Benefits-of-Building-More-Housing-6-15-2021.pdf\">recent report\u003C\u002Fa> from the \u003Cem>National Association of Realtors\u003C\u002Fem> (NAR) tells the same story. New home construction has been lagging behind the norm for quite some time. Historically, builders completed an average of 1.5 million new housing units per year. However, since the housing bubble in 2008, the level of new home construction has fallen off (\u003Cem>see graph below\u003C\u002Fem>):\u003Ca href=\"https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F26165544\u002F20210727-MEM-Eng-1.png\">\u003Cimg class=\"aligncenter wp-image-44812\" src=\"https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F26165544\u002F20210727-MEM-Eng-1.png\" alt=\"A Look at Housing Supply and What It Means for Sellers | Simplifying The Market\" width=\"650\" height=\"488\" \u002F>\u003C\u002Fa>The same NAR report elaborates on the impact of this below-average pace of construction:\r\n\u003Cblockquote>\u003Cem>“\u003C\u002Fem>\u003Cem>. . . \u003Cstrong>the underbuilding gap in the U.S. totaled more than 5.5 million housing units in the last 20 years\u003C\u002Fstrong>.” \u003C\u002Fem>\r\n\r\n\u003Cem>“Looking ahead, in order to fill an underbuilding gap of approximately 5.5 million housing units during the next 10 years, while accounting for historical growth, \u003Cstrong>new construction would need to accelerate to a pace that is well above the current trend\u003C\u002Fstrong>, to more than 2 million housing units per year. . . .”\u003C\u002Fem>\u003C\u002Fblockquote>\r\nThat means \u003Cstrong>if we build\u003C\u002Fstrong> \u003Cstrong>even more new houses than the norm every year, it’ll still take a decade to close the underbuilding gap \u003C\u002Fstrong>contributing to today’s supply-and-demand mix. Does that mean today’s ultimate \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F03\u002F29\u002Fwhat-it-means-to-be-in-a-sellers-market\u002F\">sellers’ market\u003C\u002Fa> is here to stay?\r\n\r\nWe’re already starting to see an increase in \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F07\u002F05\u002Fhome-builders-ramp-up-construction-based-on-demand\u002F\">new home construction\u003C\u002Fa>, which is great news. But newly built homes can’t bridge the supply gap we’re facing right now on their own. In the \u003Ca href=\"https:\u002F\u002Fwww.jchs.harvard.edu\u002Fsites\u002Fdefault\u002Ffiles\u002Freports\u002Ffiles\u002FHarvard_JCHS_State_Nations_Housing_2021.pdf\">\u003Cem>State of the Nation’s Housing 2021 Report\u003C\u002Fem>\u003C\u002Fa>, the \u003Cem>Joint Center for Housing Studies of Harvard University\u003C\u002Fem> (JCHS) says:\r\n\u003Cblockquote>\u003Cem>“…\u003Cstrong>Although part of the answer to the nation’s housing shortage, new construction can only do so much to ease short-term supply constraints.\u003C\u002Fstrong> \u003Cstrong>To meet today’s strong demand, more existing single-family homes must come on the market.\u003C\u002Fstrong>”\u003C\u002Fem>\u003C\u002Fblockquote>\r\n\u003Ch4>\u003Cstrong>Early Indicators Show More Existing-Home Inventory Is on Its Way\u003C\u002Fstrong>\u003C\u002Fh4>\r\nWhen we look at existing homes, the latest reports signal that \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F07\u002F14\u002Fhousing-supply-is-rising-what-does-that-mean-for-you\u002F\">housing supply is growing\u003C\u002Fa> gradually month-over-month. This uptick in existing homes for sale shows things are beginning to shift. Based on recent data, \u003Ca href=\"https:\u002F\u002Ftwitter.com\u002Fodetakushi\u002Fstatus\u002F1407344750534041615\">Odeta Kushi\u003C\u002Fa>, Deputy Chief Economist at \u003Cem>First American\u003C\u002Fem>, has this to say\u003Cem>:\u003C\u002Fem>\r\n\u003Cblockquote>\u003Cem>“It looks like \u003Cstrong>existing inventory is starting to inch up\u003C\u002Fstrong>, which is good news for a housing market parched for more supply.” \u003C\u002Fem>\u003C\u002Fblockquote>\r\nLawrence Yun,\u003Cem> Chief Economist \u003C\u002Fem>at NAR\u003Cem>, \u003C\u002Fem>\u003Ca href=\"https:\u002F\u002Fwww.nar.realtor\u002Freal-estate-today\">echoes that sentiment:\u003C\u002Fa>\r\n\u003Cblockquote>\u003Cem>“As the\u003Cstrong> inventory is beginning to pick up\u003C\u002Fstrong> ever so modestly, we are still facing a housing shortage, but \u003Cstrong>we may have turned a corner\u003C\u002Fstrong>.”\u003C\u002Fem>\u003C\u002Fblockquote>\r\n\u003Cem>So, what does all of this mean for you?\u003C\u002Fem> Just because life is starting to return to normal, it doesn’t mean you missed out on the best time to sell. It’s not too late to take advantage of \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F06\u002F16\u002Fdont-wait-to-sell-your-house\u002F\">today’s sellers’ market\u003C\u002Fa> and use \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F07\u002F06\u002Fa-look-at-home-price-appreciation-through-2025\u002F\">rising equity\u003C\u002Fa> and \u003Ca href=\"https:\u002F\u002Fwww.simplifyingthemarket.com\u002F2021\u002F07\u002F19\u002Fwhat-you-should-do-before-interest-rates-rise\u002F\">low interest rates\u003C\u002Fa> to make your next move.\r\n\u003Ch3>\u003Cstrong>Bottom Line\u003C\u002Fstrong>\u003C\u002Fh3>\r\nIt’s still a great time to sell. Even though housing supply is starting to trend up, it’s still hovering near historic lows. Let’s connect to discuss how you can list your house now and use the inventory shortage to get the best possible terms for you.","\r\nIt’s still a great time to sell. Even though housing supply is starting to trend up, it’s still hovering near historic lows. Let’s connect to discuss how you can list your house now and use the inventory shortage to get the best possible terms for you.","https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F26165544\u002F20210727-MEM-Eng-1.png",false,[17,21,25],{"id":18,"name":19,"slug":20},6,"For Sellers","sellers",{"id":22,"name":23,"slug":24},38,"Move-Up","move-up",{"id":26,"name":27,"slug":28},45,"New Construction","new-construction","2021-07-27T10:00:10Z","2021-09-08T18:53:35Z",{"id":32,"slug":33,"title":34,"featuredImage":35,"publishedAt":36,"contentType":9,"isVideo":15},1936,"3-hot-topics-in-the-housing-market-right-now","3 Hot Topics in the Housing Market Right Now","https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F22162847\u002F20210726-KCM-Share.jpg","2021-07-26T10:00:10Z",{"id":38,"slug":39,"title":40,"featuredImage":41,"publishedAt":42,"contentType":9,"isVideo":15},1940,"4-reasons-why-the-end-of-forbearance-will-not-lead-to-a-wave-of-foreclosures","4 Reasons Why the End of Forbearance Will Not Lead to a Wave of Foreclosures","https:\u002F\u002Ffiles.simplifyingthemarket.com\u002Fwp-content\u002Fuploads\u002F2021\u002F07\u002F27160736\u002F20210728-KCM-Share.jpg","2021-07-28T10:00:29Z",{"cover":44,"open":45,"shareSpread":46},"https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Sellers-Guide-Cover-original.png","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Sellers-Guide-Spread-original.png","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Sellers-Guide-Magazine-original.png",[48,52,56,57,61,65,69,73,77,81,82,86,90,91,95,99,103,107,111,115,119,123,127,131,135,139,143,147,151,155],{"id":49,"name":50,"slug":51},1,"Uncategorized","uncategorized",{"id":53,"name":54,"slug":55},5,"For Buyers","buyers",{"id":18,"name":19,"slug":20},{"id":58,"name":59,"slug":60},7,"Foreclosures","foreclosures",{"id":62,"name":63,"slug":64},8,"Infographics","infographics",{"id":66,"name":67,"slug":68},9,"Home Prices","home-prices",{"id":70,"name":71,"slug":72},11,"First-Time Buyers","first-time-buyers",{"id":74,"name":75,"slug":76},34,"Senior Market","senior-market",{"id":78,"name":79,"slug":80},35,"Mortgage Rates","mortgage-rates",{"id":22,"name":23,"slug":24},{"id":83,"name":84,"slug":85},41,"For Sale by Owner","for-sale-by-owner",{"id":87,"name":88,"slug":89},42,"Featured","featured",{"id":26,"name":27,"slug":28},{"id":92,"name":93,"slug":94},52,"Luxury \u002F Vacation","luxury--vacation",{"id":96,"name":97,"slug":98},53,"Rent vs. Buy","rent-vs-buy",{"id":100,"name":101,"slug":102},80,"Time-sensitive","time-sensitive",{"id":104,"name":105,"slug":106},81,"Outdated","outdated",{"id":108,"name":109,"slug":110},147,"Internal","internal",{"id":112,"name":113,"slug":114},148,"Do Not Autopost","do-not-autopost",{"id":116,"name":117,"slug":118},320,"Inventory","inventory",{"id":120,"name":121,"slug":122},321,"Agent Value","agent-value",{"id":124,"name":125,"slug":126},322,"Affordability","affordability",{"id":128,"name":129,"slug":130},323,"Buying Tips","buying-tips",{"id":132,"name":133,"slug":134},324,"Downsize","downsize",{"id":136,"name":137,"slug":138},325,"Economy","economy",{"id":140,"name":141,"slug":142},326,"Equity","equity",{"id":144,"name":145,"slug":146},327,"Forecasts","forecasts",{"id":148,"name":149,"slug":150},328,"Selling Tips","selling-tips",{"id":152,"name":153,"slug":154},339,"Expired\u002FWithdrawn\u002FCanceled","expiredwithdrawncanceled",{"id":156,"name":157,"slug":158},340,"Price It Right\u002FOverpricing","price-it-rightoverpricing"]