MONTGOMERY, Ala. (WIAT) — There’s probably only one thing hotter than the weather in Alabama right now, and that’s the housing market. But what’s pushing the bid to buy and how long will it last?
“It’s the craziest market I’ve seen ever, in my entire career,” realtor Amy Schone said.
Schone said the buying rush comes down to several factors, including historically low interest rates, low property taxes and the freedom for many to work from home. But if you’re looking to buy, you better be ready to move quick.
“Once that house hits the market, you have to be ready to jump in your car and take a look at it, because there’s going to be a line of people looking at it with you,” she said.
However, the housing boom is not limited to just Alabama. According to Schone, her realtor friends across the nation have seen the same trend.
With a surge of homebuying also comes the downside of fewer homes on the market.
“We probably have over 100 people qualified but the only thing we’re running into is low inventory. There are not enough houses for all the people we have qualified to buy,” Kylee Hogan said.
Hogan recently listed her own home to sell and noticed how quickly other homes in her neighborhood sold.
“So, we’re seeing houses sell within a week in our neighborhood,” Hogan said.
With homebuyers engaging in bidding wars to get the home they want, lower-income buyers are finding themselves priced out of the market.
“You can’t ask for those closing costs, so the young people who don’t have a lot of extra savings don’t have that money to put towards closing costs, so they are getting outbid every time,” Schone said.
Schone doesn’t believe the current buying frenzy will end anytime soon.