Why Your House Will Shine in Today’s Market

Why Your House Will Shine in Today’s Market

While there are more homes on the market compared to this time last year, buyer demand still exceeds the available inventory. If selling is on your mind, this means your home has a great chance to stand out.  

Understanding the key factors behind the current housing shortage will show why the market is in your favor if you're ready to make a move.

What’s Causing the Shortage?

1. Underproduction of Homes: For years, the housing industry has fallen short in building enough homes to meet demand. As Zillow explains:

“In 2022, 1.4 million homes were built — at the time, the best year for home construction since the early stages of the Great Recession. However, the number of U.S. families increased by 1.8 million that year, meaning the country did not even build enough to make a place for the new families, let alone begin chipping away at the deficit that has hampered housing affordability for more than a decade.”

2. Rising Costs: Building materials, labor shortages, and pandemic-related supply chain disruptions have made home construction more difficult and costly. In some areas, this has slowed or even halted new developments.

3. Regional Imbalances: Some markets feel the housing shortage more intensely than others. In popular, high-demand areas, people are moving in faster than homes can be built. Additionally, the issuance of new building permits often lags behind job growth, further tightening the market and driving up prices.

How Big Is the Problem?

According to estimates from Real Estate News, the U.S. faces a housing shortfall of approximately 3.3 million homes. This figure is based on an average drawn from several expert analyses (see graph below):

This data highlights the significant gap between housing supply and current buyer demand. But what about future needs?  

According to John Burns Research and Consulting (JBREC), the U.S. will require about 18 million new homes over the next decade to meet projected demand—accounting for new households, second homes, and replacements for outdated or uninhabitable properties.  

Even with more homes on the market than last year, inventory remains insufficient. If you're thinking about selling, this creates a great opportunity to make the most of current market conditions.

What You Need To Remember

If you’re considering selling, the ongoing housing shortage means your home is likely to attract significant buyer interest. With the inventory deficit expected to take years to resolve, the market remains tight. When buyers compete for a limited number of homes, it increases demand, driving prices higher—ultimately working in your favor.  

Since every market is unique, partnering with a real estate agent who understands local trends is essential. They can help you set the right price and develop a strategy to attract the best buyers.

Bottom Line

Although there are more homes for sale compared to this time last year, the overall shortage persists. This gives you a strong advantage as a seller. Let’s connect so I can guide you in making the most of today’s market opportunities.