Don’t Be Fooled by Remarkable Real Estate Headlines

Dated: May 3 2021

Views: 52

Don’t Be Fooled by Remarkable Real Estate Headlines

Don’t Be Fooled by Remarkable Real Estate Headlines | MyKCM

Don’t be impressed by the headlines reporting year-over-year housing numbers for the next several months (data covering March, April, May, and June). The data will most likely show eye-popping one-year increases.

While the year-over-year jumps will certainly be striking, consumers should take these numbers with a grain of salt, as the situation highlights a short-term quirk in the reporting of this data. Essentially, the increases will reflect a combination of two things: sharply lower housing numbers during last year’s virus-related market collapse and the subsequent strong rebound. This will result in what will appear to be unbelievable growth.

Let’s use single-family home sales as an example:Don’t Be Fooled by Remarkable Real Estate Headlines | MyKCMAs the graph reveals, last spring’s buying market was anything but typical. Instead of sales increasing, they fell sharply as a result of stay-at-home orders that virtually shut the real estate industry down.

This spring’s real estate market will bounce back with more normal seasonal sales increases. The percentage increase in sales will be astronomical – not because sales have skyrocketed, but instead because they will be compared to last year’s low numbers.

Bottom Line

There are likely to be some sensational headlines about real estate over the coming months. However, don’t be fooled. The actual story is that the real estate market is finally back to normal.

Latest Blog Posts

4 Tips To Prep for Your Home Sale This Fall

4 Tips To Prep for Your Home Sale This FallEven in a hot sellers’ market like today’s in which homes are selling so quickly, it’s still important to make a good first

Read More

As Home Equity Rises, So Does Your Wealth

As Home Equity Rises, So Does Your WealthHomeownership is still a crucial part of the American dream. For those people who own a home (and those looking to buy one), it’s clear that

Read More

Don’t Tackle Selling Your Home on Your Own – an Agent Can Help

Don’t Tackle Selling Your Home on Your Own – an Agent Can HelpIf you’re looking to maximize your sale and minimize your effort, you need to work with a real estate professional. In

Read More

It’s Still a Sellers’ Market [INFOGRAPHIC]

It’s Still a Sellers’ MarketSome HighlightsDue to low supply and high demand, today is one of the strongest sellers’ markets we’ve seen.Sellers can

Read More