Cervone Deegan + Associates knows that the spring real estate market has been an active one in most areas. Even with home loan rates higher this year as compared to last year, buyer demand is still strong and even getting stronger. According to data from Showing Time, which is a measure of buyers touring homes, it makes a statement that more buyers are actively touring homes this March compared to March in pre-pandemic years. Here is a closer look at why buyers are so active these days.
Job Market Strength
With inflation still on the higher side, the Federal Reserve increasing the Federal Funds Rate and headlines discussing a potential recession, it is interesting to see just how strong the job market is. Furthermore, it is strengthening as well. According to the Bureau of Labor Statistics (BLS), there have been a significant amount of jobs added to the market. In particular, there were 88,000 more jobs created this April than in March. Additionally, the April numbers exceeded expert projections as well. This shows great movement in the direction of growth.
Unemployment Nearing All-Time Low
Another noteworthy statistic that goes hand in hand with new job growth is that of unemployment. According to BLS the unemployment rate is the lowest since May of 1969. The average rate from 1948 to 2023 was 5.7% and we are currently at 3.4%. So with so many people employed they are able to consider buying that home these days.
Impact on The Market
In the end this is positive news especially for sellers in this market given the buyer activity. With the number of homes available for sale being lower still, sellers should anticipate strong interest in their properties listed for sale. If you are considering selling your home in the near future, feel free to reach out and let’s have a discussion on what you should expect for your home in your particular area.