For those of us in Real Estate who thought 2021 may be a little more normal than last year, reality is stepping in. You guys, the amount of appreciation in our year-to-year home values is like something out of a fantasy book.
Those of us living in and around Grassland in Williamson County are seeing a net gain in equity that is better than winning in Vegas. The only difference is we’re sitting at home
making watching it rain. And snow.
Not even sites like Zillow can keep up with our appreciation. It had this Temple Hills home that I listed pegged for about $100,000 less in value than what we listed and got it Under Contract for at the beginning of this month. A year ago, in February 2020, that Zestimate may have been spot on.
Selling your home right now is like someone knocking on your door and telling you you’ve won the lottery.
Across Williamson County, our average home sale price in January 2021 is $168,000 more than it was in January 2019!
Our average price in Williamson County has gone from $571,095 to $749,403 year-to-year. And though we’re in a tight housing market, we actually had about a dozen more homes sell this January than last, county-wide. (304 to 317, according to the Williamson County Association of Realtors)
Here in Grassland, our average sales price is even higher.
Our average sales price came in at $790,688 in January 2021. That’s about 5% higher than the general Williamson County average during the same month. Our January 2021 average sales price in Grassland is also 15% higher than it was in January 2020.
A 15% increase in our home values here year-to-year is incredible! In January 2020, our home values averaged a $687,694 sales price.
This home in River Landing is the closest representation (listed with pictures) of Grassland’s average-priced home that sold in January 2021. It closed at $865,000 on January 26th. It went under contract after 17 days on market, and sold for full asking price.
And what’s happening here is happening all across the country. Realtor.com reports, “Home prices have been on a tear in recent months, and they’ll rise another 5.7% just this year.”
What Data Says
Economists and Real Estate industry insiders have a range of predictions for where our housing prices are headed, and most of them are pointing up.
The big question as I type is… how much? There is very little indication that prices will go down, but it is expected that our rate of increase in appreciation could. While I told you above we saw a 15% year-over-year increase in our average Grassland sales price in January, that’s not expected next year. The highest it’s expected to go is as high as another 8% according to the National Association of Realtors.
But that number could be lower with a few of the indicators we’re watching:
- inflation increase
- expected mortgage rates increase
- more inventory, thanks to new construction
These three things equal less demand, and therefore less of a frenzy, which means more of a Buyers market as we get later into 2021.
According to Realtor.com: “The housing market in 2021 will be much more hospitable for buyers as an increased number of existing sellers and ramp-up in new construction restore some bargaining power for buyers, especially in the second half of the year.”
The Sweet Spot
We are in a REALLY sweet spot right now as Sellers. And the Buyers entering the market aren’t doing too bad either. They’re buying homes that will likely continue to appreciate, with interest rates that are at historic lows. And the effects of inflation haven’t affected their buying power or budgets yet.
I’m asked by people all the time “How’s the market?”
My response lately, without hesitation, is we are in a really sweet spot right now, but it’s not going to last much longer.
Is it easy right now? No. It’s hard to be a Buyer and a Seller right now, for different reasons.
The market is actually very challenging.
But there is also more opportunity right now, as a Buyer and a Seller, than most of us will ever see in our lifetime.
You could be among the lucky ones feeling like a winner.
If you’re thinking of selling or buying a home, I’ll give you free, honest advice. I’m a Grassland area resident and I’m a Platinum Award-winning Williamson County REALTOR® ranking in the top 2%. I have been featured on TV and my success is the topic of an article in the July 2020 edition of Nashville Real Producers magazine. But most importantly, I specialize in helping my friends and neighbors buy and sell homes!