• (714) 470-8600
    • mike@mikepatel.com

Mahesh Mike Patel

Anaheim Hills Real Estate

  • Menu
  • Search
    • Advanced Search
    • Map Search
    • Listing ID Search
    • Address Search
    • Browse by City
    • My Account
  • About
    • Meet Mike
    • Read Reviews
    • Watch Reviews
    • Marketing Plan
    • Luxury Homes
  • Buyers
    • Buying With Us
    • Hot Properties
    • Luxury Homes
    • Off Market Listings
    • Mortgage Calculator
    • My Listing Manager
    • Commercial
    • Residential Income
    • REO Properties and Foreclosure
    • Short Sale Properties
  • Sellers
    • Free Instant Home Value
    • Selling With Us
    • Marketing Plan
    • Sold Portfolio
    • FREE Home Valuation
    • Luxury Homes
    • Commercial
    • Residential Income
    • Short Sale Properties
    • REO Properties and Foreclosure
    • 12 Reasons Your Home Didn’t Sell
  • Communities
    • Anaheim
    • Anaheim Hills
    • Brea
    • Buena Park
    • Fullerton
    • Garden Grove
    • Orange
    • Placentia
    • Tustin
    • Tustin Ranch
    • Villa Park
    • Yorba Linda
  • Commercial
  • Income Properties
    • Residential Income
    • REO Properties and Foreclosure
    • Short Sale Properties
  • Youtube Channel
  • Blog
    • Events
  • Contact

Homes for Sale Are Rapidly Disappearing

Homes for Sale Are Rapidly Disappearing | Simplifying The Market

Through all the challenges of 2020, the real estate market has done very well, and purchasers are continuing to take advantage of historically low mortgage rates. Realtor Magazine just explained:

“While winter may be typically a slow season in real estate, economists predict it isn’t likely to happen this year…Low inventories combined with high demand due to record-low mortgage rates is sending buyers to the market in a flurry.”

However, one challenge for the housing industry heading into this winter is the dwindling number of homes available for sale. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), recently said:

“There is no shortage of hopeful, potential buyers, but inventory is historically low.”

In addition, Danielle Hale, Chief Economist for realtor.com, notes:

“Fewer new sellers coming to market while a greater than usual number of buyers continue to search for a home causes inventory to continue to evaporate.”

One major indicator the industry uses to measure housing supply is the months’ supply of inventory. According to NAR:

“Months’ supply refers to the number of months it would take for the current inventory of homes on the market to sell given the current sales pace.”

Historically, six months of supply is considered a normal real estate market. Going into the pandemic, inventory was already well below this mark. As the year progressed, the supply has was reduced even further. Here is a graph showing this measurement over the last year:Homes for Sale Are Rapidly Disappearing | Simplifying The Market

What does this mean if you’re a buyer?

Be patient during your home search. It may take time to find a home you love. Once you do, be ready to move forward quickly. Get pre-approved for a mortgage, be prepared to make a competitive offer from the start, and understand how the shortage in inventory has led to more bidding wars. Calculate just how far you’re willing to go to secure a home if you truly love it.

What does this mean if you’re a seller?

Realize that, in some ways, you’re in the driver’s seat. When there’s a shortage of an item at the same time there’s a strong demand for it, the seller is in a good position to negotiate. Whether it’s the price, moving date, possible repairs, or anything else, you’ll be able to ask for more from a potential purchaser at a time like this – especially if you have multiple interested buyers. Do not be unreasonable, but understand you probably have the upper hand.

Bottom Line

The housing market will remain strong throughout the winter and heading into the spring. Know what that means for you, whether you’re buying, selling, or doing both.

Posted in: News & Blog

Post navigation

« Why Working from Home May Spark Your Next Move
Chances of Another Foreclosure Crisis? “About Zero Percent.” »

Search Properties

Get FREE Listing Manager

Login to Listing Manager

Featured Properties

1064 N Tustin Street $1,800,000

1064 N Tustin Street Orange, California

Beds Baths 2,666 Sq Ft Acres

1062 Irvine Boulevard $1,600,000

1062 Irvine Boulevard Tustin, California

Beds Baths 1,500 Sq Ft Acres

Search for:
Search for:
Search for:

RSS MikePatel’s Blog

12 Reasons Your Home Didn‘t Sell

Fill out this form to get this information-filled booklet as a PDF download.

  • This field is for validation purposes and should be left unchanged.

From Our Clients…

Yvonne Y.

I can’t say enough good things about Mike Patel! He’s professional, honest, hard working and just an overall kind person. He knows residential real estate like the back of his hand, an incredible negotiator! If you’re in need of a local Realtor look no further.

Read More Reviews »

What’s Your Home Worth?

I am the premier agent to turn to when you are ready to list your property to sell quickly and at top dollar! I compare other properties in the local market to make sure we list it at the right asking price.

FREE Home Valuation

Mahesh Mike Patel

  • Call/Text: (714) 470-8600
  • mike@mikepatel.com
  • 8028 S Santa Ana Canyon Rd Anaheim Hills, CA 92808
Happy Client testimonial

© 2022 Mahesh Mike Patel, CA BRE# 01146880 | All Rights Reserved

Agent Reputation – Real Estate Website Design

Privacy Policy | DMCA | Sitemap