Another complicated year has come and gone. The pandemic is still hanging around, and we are wrapping up an UNPRECEDENTED year of Real Estate. Let's recap:
Below are a few 2020 comparisons in Dane County:
In 2020, the median list price for Single Family homes was $335k and median sold was $336k ($30K jump in just a year)
For Single Family Homes, 533 cash deals in 2020 versus 733 cash deals in 2021
Below are a few 2020 comparisons in Dane County:
In 2020, the median list price for condos was $218,250 and median sold was $217,250 ($20K jump in just a year)
For condos, 392 cash deals in 2020 versus 479 cash deals in 2021
So Lindsay, what does your crystal ball say about 2022?
Well, let's first remember I don't have a crystal ball. January is typically a slow month, yet 2021 blew that trend out of the water. Below are trends I think are here to stay:
Competition will still be fierce, so be prepared to act quickly and put your best foot forward
-I'm hoping the days of needing to submit an offer within hours will stay in 2021,
but being pre-approved and bringing all decision-makers to showings will be
crucial
With the stiff competition, cash will still be king
-Working with your financial adviser could provide cash/down payment options
Waiving contingencies is here to stay, unfortunately. With the inventory still at an all time low, folks are willing to do whatever it takes to get a home
-That said, I have a few tricks up my sleeve to strengthen your offer while still
appeasing the seller. Picking the right lender to help explain all your options will
be key
Be prepared to potentially lose out on a few homes before getting an offer to stick
-There no easy way to sugar coat that. Some of my buyers last year got the first
home they wrote an offer on while others had to write 3-5 offers before they got
one accepted. Rest assured, every buyer who lost out on a few ended up with a
home they LOVE, not just one they settled for
More new construction is coming, but at uncertain prices
-New construction is slowly catching up, but with rollercoaster pricing on lumber
and supply chain issues, affordability may be an issue for some
The year has just begun, so let's all cross our fingers for a happy, healthy 2022!
Until next time, stay sweet!
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