What Rising Building Permits Means For Home Sellers

The number of building permits issued for single-family homes is the best indicator of how many newly built homes will rise over the next few months. According to the latest U.S. Census Bureau and U.S. Department of Housing & Urban Development Residential Sales Report, the number of these permits were up 7.4% over last year.

How building permits impact buyers

More inventory means more options. Lawrence Yun, NAR’s Chief Economist, explained this is good news for the housing market – especially for those looking to buy:

“This rise in single-family housing construction will help tame home price growth, and the increase in multifamily units should continue to help slow rent growth.”

How building permits impact sellers

More inventory means more competition. Today, because of the tremendous lack of inventory, a seller can expect:

  1. A great price on their home as buyers outbid each other for it
  2. A quick sale as buyers have so little to choose from
  3. Fewer hassles as buyers don’t want to “rock the boat” on the deal

With an increase in competition, the seller may not enjoy these same benefits. As ChiefEconomist Nela Richardson, added:

“Because existing home inventory has been so low for so long, new construction is taking a larger share of the market…Builders meet the buyers and see the demand firsthand.”

Sell now to beat the competition

If you are considering selling your house, you’ll want to beat this new competition to market to ensure you get the most attention for your listing and the best price.

2017 North Ranch Annual Review

The SG Associates North Ranch Annual Review offers valuable insight into 2017’s market performance as a whole, along with a close analysis of single-family and condominium home sales in the 20 North Ranch prime neighborhoods.

  • Data for 20 neighborhoods
  • Beautiful custom maps & charts
  • Expert commentary & analysis
north-ranch-annual-report-cover