The conversation we’re having the most right now surrounds the recent announcements at Con Agra and Union Pacific. With over 1,000 anticipated layoffs and several hundred relocations, those who currently own a home are wondering what impact it will have on their home’s value.
We anticipate that the supply of homes will increase beginning Spring of 2016 (especially for the mid-to-higher end homes), which will provide a greater balance to Omaha. We experienced a shortage for most of 2015, creating urgency for buyers – and sometimes leading to homes that did not appraise for the purchased value. Sellers should be prepared for less bidding wars and a slightly longer market time, but we don’t think it’s going to affect values that significantly. For the high end market (above $500,000), the current average time for a home to sell is just about a year. We expect to see 3-4 months added to that time due to the expected change in supply. Homes that are in good condition and priced reasonably will still be in demand and will still move fairly quick.
Many people have asked us if it makes sense to list their homes now instead of waiting. Although we have seen market times slow down, there is still a great demand for housing. Interest rates are still low, inventory is extremely low and prices have stabilized (and are higher than recent years). We think each case is specific, but with the current real estate market and changes in Omaha, it may not be a bad idea to list before the holidays and before inventory improves in the Spring.
The most important thing is to not panic! If you are curious to know the new value of your home, please call us. We’re happy to meet with you or send you that information.