ROCHESTER, Minnesota (KTTC) – Housing experts say the price of buying a home is still high.
Shortages in the supply chain and limited stocks are partly responsible for the increase.
Dwell Realty Group realtors shared what people should know about buying or selling a home during this time.
âThe best time to buy is now, especially if you have to,â said Robin Wolfram, Dwell’s real estate agent.
She said the seller’s market is still doing well, but not as well as it was last spring.
âThe houses functioned like gangbusters. The offers go anywhere between 10/20 percent above asking. It’s something we’ve never seen before, âshe said. “I think the most important thing for sellers to remember is that they have to be realistic about the price.”
But buyers may have more difficulty finding a home.
âWe don’t see enough inventory to meet demand, so prices were really going up,â Wolfram said. âThat’s why I think salespeople need to be a bit more realistic. Because houses don’t hit the market as much. The demand is there, but I think buyers are just waiting to see when those prices stabilize a bit. “
Dwell told us that in 2020 compared to 2019 there was a 13% increase in ads sold. In 2021, compared to ad sales in 2020, it was down by around 9%.
Meanwhile, home builders say people who want to build a new home have to pay more money.
âNew construction has become very popular,â said Craig Johnson, owner of Majestic Homes. âWood has increased a lot, but it has fallen. I would say it just keeps on increasing, unfortunately. Construction costs, newer lots in town are also a lot more expensive than older lots, so that’s a big part of that.
Obtaining coins to build houses also delays construction.
âIn fact, our window wait times have never been longer. It’s the longest he’s ever been right now. Cabinets and garage doors, along with a lot of different parts and pieces that you wouldn’t think are a problem, are a big deal right now. So our build time has gone from three to four months to five, six, seven, eight, nine months now, âsaid Mike Paradise, President of Bigelow Homes.
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