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.
Housing Market Covid Collapse and Subsequent Rebound
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:
As 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.
Grays Harbor Realtors Note the Same Trend
"As it is true in the rest of the country it is also equally true in Grays Harbor County where realtors are predicting that we will see a substantial jump over last year's spring". Oly Pen Broker Megan McCallum points out, adding, “ Just keep in mind last year at this time most home buyers and home sellers in Grays Harbor were under the quarantine lockdown and the market reflected that fact."
The percentage increase in sales will be huge – not because sales have skyrocketed, but instead because they will be compared to last year’s low numbers. 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. If you are looking to buy, sell, or simply discuss your options please give Oly Pen Real Estate a call. Meghan or one of the other professional team member would love to talk with you!
Oly Pen Real Estate has a team of trusted real estate professionals to help you navigate changes in our industry. We have a watchful eye on Grays Harbor market so give your Oly Pen Real Estate Team a call today at 360.249.8187 or stop by our office 141 S. Main Street in friendly Montesano, WA and discuss your expectations today!