The first step to figuring out how much you can sell your house for is working with a local real estate expert to draw up a Comparative Market Analysis (CMA). A CMA report is a full in-depth look at not just your home, but similar properties in terms of size, location, condition, and amenities that have sold within the past 3 to 6 months. The only way to accurately determine how much you can get for your home is to compare it to others that have sold recently. Weighing your home against others, along with your real estate agent’s local knowledge of where the housing market in your neighborhood is headed, will help you figure out exactly how much your home is worth.
On average, most regions in the U.S. have a home appreciation rate of roughly 3.5 – 3.8 percent. This is dependant on local housing trends and the economy in general. Southern California real estate however tends to appreciate faster and in 2020 home price appreciation was off the charts. Among SoCal’s six counties, median prices rose 13 percent from 2019 to 2020 according to data released by data firm DQNews.
If you are looking for an indication of what the housing market might look like in 2021 and if you’re thinking about selling your home, it is promising to know that although interest rates are expected to stay relatively consistent through this year and next, the number of homes for sale and the average price of a home is projected to climb.
If you can afford it, yes. With interest rates at historic lows, this is the opportune time to buy a house. Low-interest rates help homebuyers afford more expensive homes, however, with housing inventory also at historic lows, we are experiencing a fiercely competitive market right now.
Interest rates are currently on the rise as the economy continues to show signs of improvement and recovery from the effects of the COVID-19 pandemic. You can keep a close eye on rates by checking in on our Homebuyer’s Mortgage Watch, updated every week. In general, when the economy is thriving, interest rates rise.
All signs point to no, the housing market is not going to crash in 2021. In fact, the real estate market is thriving as a driver of our economic recovery. Despite the pandemic, today’s real estate market is healthy with market conditions of low supply and high demand keeping home values strong with no bubble in sight.