Contrary to the winter weather earlier this week, Clark County’s housing market is waking up for spring.
More houses have come on the market following a holiday lull, with 535 new listings in January, a 45.8 percent increase from December, according to this month’s Regional Multiple Listing Service report.
“When I saw that we were at 45.8 percent in listings, I was so happy to see that,” said Amy Asivido, managing broker in Clark County with the Asivido Team at Keller Williams Premier Partners.
These new listings could help boost inventory, which is needed to meet homebuyers’ demand. Inventory rose from 1.9 months in December to 2.5 months in January, meaning it would take that amount of time for all houses on the market to sell given the current sales pace.
While this is a big improvement from January 2022, when inventory was just 0.6 months, it’s still shy of the four to six months that housing experts consider to reflect a balanced market.
“It’s still an extremely low inventory, because anything less than a six-month supply is still a seller’s market,” Asivido said. “There still aren’t enough houses on the market to accommodate all the buyers that are looking.”
To navigate supply challenges, buyers and sellers have started working together, Asivido added. “The seller would come down slightly from list price, and then maybe offer to pay for a rate buydown or to help out with closing costs. And then they would come up with a mutually agreed-upon offer,” she said.
Asivido thinks the market’s increased activity reflects higher consumer confidence. Despite low inventory, people are starting to “test the waters of the market,” as sales prices and interest rates have leveled out a bit.
Clark County’s median sale price rose slightly to $494,000 in January, 2.9 percent higher than December. In Asivido’s view, prices likely won’t drop lower than they already have.
“If you’re waiting for interest rates or home prices to go down, don’t,” she said. “We’re hoping that interest rates will go down, but they may not. … So if you can afford it and it makes sense for you to do so, don’t wait.”
Interest rates for 30-year fixed mortgages continue hovering around 6 percent, according to the government-sponsored home mortgage packager Freddie Mac.
This rate seems high relative to 2020 when the 30-year mortgage rate fell below 3 percent in response to the COVID-19 pandemic, but relative to rates historically, it’s fairly reasonable, according to Asivido. “I think people don’t realize how good 5 percent or 6 percent really is,” she said.
Though Asivido doesn’t advise prospective homebuyers to wait for prices and interest rates to decrease, she does advise them to wait for the right home.
“You don’t have to stress out and jump on something that isn’t a fit for you,” she said. “Then if you find the home that you love, don’t be afraid to make an offer.”
Recently, her team has seen up to three offers on each house they list, she noted. “Just be patient, and if that one doesn’t work out, wait for the next one,” she said. “Or sometimes you may have to wait for a seller that’s a little more willing to help you buy down your rate to make it more affordable.”
