Take Advantage of the Real Estate Market
Article published in Northampton Living
(November 2023)
November greetings!
Much like other small communities, our local real estate market has been impacted by a confluence of factors stemming from the global pandemic and predictable demographic shifts. Simply put, in the last few years the number of buyers has exceeded the number of sellers, even with higher interest rates and higher prices. One of the most striking features of the current market is the shrinking inventory. Buyers are encountering a limited supply of available homes. The number of homes sold in the second quarter (Q2) this year is about 20% lower than Q2 2022. The number of homes sold in Northampton is 33% lower than last year.
Nationally, existing home sales are down 16.6%. Due to the push-and-pull of tight inventory and high interest rates, the Pioneer Valley has seen prices remain relatively stable, with a slight upward trajectory. Median single-family home prices for Q2 are up 15% in Northampton, down 2.2% in Amherst, flat in Greenfield, and down 10% in Longmeadow.
In this low-inventory market, it is essential to work with a well-connected realtor and lender who knows how to position your offer. Buyers who are less reliant on mortgage rates, who can pay cash, make a large down payment, or guarantee any potential gap between the offer price and the appraisal value, have a strong advantage. Keep in mind, of all the homes sold in Northampton last year, 39% were cash sales.
If you are on the fence about selling your home, know that although mortgage rates are high, inventory levels are historically low. It’s a great time to sell, especially if you’re ready to make a change in your life.
More contributions from Ruthie Oland
