80% of buyers are out of the market??
Forbes just released an article with a study claiming that 80% of potential buyers have dropped out of the market.
"The study found that 80% of would-be-buyers have either delayed their housing search or stopped it altogether
In all, the reasoning behind these delays is pretty unsurprising. 60% of those surveyed cited concerns over their future employment prospects and 54% talked about the inability to see homes in person as a main driver for their hesitance to buy in this market.” Click here for full article
Personal experience tells me that there’s something missing. Closings and offers across the valley have not slowed by anywhere near that sort of statistic. Compared to last year, every statistic is down somewhere between 30-40%. This is a far cry from what Forbes is stating.
The most important part of this is that although closed sales are down 40%, so are new listings. This is the biggest reason why the median sales price is still a healthy 3% higher than last year and why the months supply of inventory of homes is declining.
Stats from other sources are now stating that they believe the bottom hit in mid-April. Here is a mixed chart of the top cities.
My experience reflects the later two stats much more than what Forbes is stating. Whether that will change in the future is unknown. But as of now, I will continue to be optimistic.