More Homes to Hit the Market Soon? Owners Say They Are Eager to List

More than one-quarter of homeowners in a recent Realtor.com® survey said they are planning to list in the next 12 months.

And it’s not just baby boomers downsizing. It’s mostly younger owners. Nearly half of millennial owners in the survey reported they plan to list, as do 34% of Generation Z homeowners. Comparatively, just 26% of Generation X owners, 11% of baby boomers and 8% of the silent generation said they are planning to sell their home in the next yea. Many recent sales have come from millennial and Generation Z owners. In the last six months, 22% of all homeowners have sold their home, but 29% of Generation Z owners and 54% of millennials sold theirs, compared to just 4% of boomers and 3% of the silent generation.

Many of those who plan to sell their home are not waiting for the spring. Forty-six percent are going to list in the next three months, especially Generation Z (31%) and millennials (38%), which may lead to some starter homes hitting the market, which could help first-time buyers as they have frequently been outbid over the past two years. Millennials and Generation Z have been extremely prepared with 97% and 98% respectively taking action to prepare for sale. Most often, would-be sellers are researching home values in their neighborhood, researching the value of their home, cleaning and repairing their home and researching the real estate process.

PAR President Christopher Raad said, “For many years, people used to wait until the spring to list there home but we’re not really seeing that in most markets anymore. Many sellers aren’t deterred by the winter months so we’re seeing a strong market throughout the year.”

Sellers are confident in their house’s selling points. Thirty-four percent said their desired price for their home would be less than $350,000. Forty-five percent expect between $350,001 and $1 million. Ninety-three percent of sellers expect to sell their home for than they paid for it, and 8% expect to get at least double what they paid. Not surprisingly, one of the top reason people are planning to sell is because they want to take advantage of the current market, while the top reason is because their home no longer fits their needs. Others cited the pandemic and quarantine as leading them to want different things in a home, while living closer to friends and family is another selling point.

For those who are waiting to list their home, the majority said they are struggling to find a home in their budget in their desired area, while others say the current economic climate makes them nervous.