Selling homes in the US is starting to get harder as the market slows down. The houses for sale inventory has grown while buyers’ demand has dropped. Soaring house prices are scaring buyers away as are the sky-high mortgage rates.
With rising inflation comes higher interest rates for borrowers. Mortgage rates are now over 6% for the first time since 2008 reports the New York Times. This is making potential buyers rethink their plans and wait longer.
The result of this is many homeowners sitting on properties that are worth far more than they were 2 years ago but are unable to find a buyer.
What is the current condition of the Dallas housing market?
As far as house prices go, Dallas is in good shape. Across Dallas, Fort Worth, and Arlington, the median price of a home was $300,000 in 2020. By 2021, this had risen to $345,000, and in 2022, the median house price in Dallas is now $400,000.
While North Texas prices remain sky high, sales had dropped 10% year over year by August 2022.
This has led to a frustrating time for property owners in Dallas. While on one hand, their property has gained massively in value, house sales are slowing down month by month. The country as a whole saw existing home sales of 4.8 million in August. This was the lowest since May 2020 and could mean bad news for house sellers in Dallas today.
The most commonly asked question from sellers is how long does a house sale take? Every month in January has seen a drop in the total amount of existing home sales. For a fast sale, a seller will need to look at all the options.
What is the most suitable route for a fast sale?
To sell a home fast ideally you will have a cash buyer and no chain to speed up the process. Taking a lower offer may also be necessary with more homes on the market, and less demand.
Finding Dallas cash home buyers on the internet can mean getting a swift offer and closing the deal quickly. But, it also means accepting an offer below the market price.
However, in today’s climate, this may be one of the few ways of getting a quick sale. Mortgage rates are reducing the number of potential buyers, and there are predictions house prices may plummet soon anyway.
Forbes reported that if the housing market collapses, as some experts believe, house prices in Dallas will drop by up to 20%. Therefore, making a quick sale for a lower price now could be better than seeing your home lose more value down the line.
How can you get the best price for your home?
If you want the best return from your property then you may have to be a little more patient. Selling a house for the best price usually means going through a real estate agent. This is the normal route taken by about 87% of buyers.
Yet, it can take a lot longer to sell this way. The seller needs to weigh up the value of a quick sale versus higher proceeds, and the possibility of a housing market crash in the near future.
What are the pros and cons of going for a fast cash sale in Dallas today?
One of the risks in going for a fast sale in Dallas now is that your property might rise in value again after completion. Of course, it might also drop. There are pros and cons to cash sales, and some of them are listed below.
Pros of a fast cash sale
- Can have proceeds within a week
- No renovations need to be done
- No fees to be paid
- No marketing
Cons of a fast cash sale
- Receive less money
- Cannot negotiate
- No competition
If you want to sell your home for the most money then fast is not usually the best option. You could have rival bidders pushing the price up if you go through a real estate broker. But, with a cash buyer, you either accept the bid or move on.
Nevertheless, if a quick sale is needed, a cash buyer is the preferred route. If money is not the priority then a cash sale will see you receive the proceeds swiftly and with no red tape to deal with.
Summary
Dallas homeowners are currently sitting on property worth record amounts for the area. Yet, selling homes in many areas of the US today can be taxing. Housing inventories are rising just as the demand for buying declines. Until inflation and mortgage rates drop the situation is unlikely to change significantly.
If you want to see the best return on your home sale then undoubtedly marketing it through a realtor is the best route. But, for a fast sale, you are unlikely to match a cash buyer for speed via any other method.
