The real estate market can heat up in the summer months. According to Bloomberg.com, the following four trends are very likely to characterize this season of buying and selling properties:
- Low mortgage rates — Rates may inch upwards but very slowly, as the Federal Reserve will help dampen rates for the rest of 2013.
- Low inventory — The national supply of residential housing in February was below 2 million homes, representing less than 5 months of inventory. Certain regions throughout the United States are seeing even lower supply rates.
- Proactive buyers — In some areas, buyers are making personal and direct contact with owners of homes, even before these properties hit the market.
- Bidding wars — Places like San Francisco, Sacramento, Boston, Washington, Seattle, and New York are experiencing a big increase in competitive offers.
In the month of April, just under 75 percent of all home offers received multiple bids, up from 72.5 percent in March and 68 percent one year ago, according to Redfin, reports the Puget Sound Business Journal. Seattle landed fifth in the bidding wars department, behind Orange County, San Francisco, San Diego, and Los Angeles.