Each Friday, Robbie Briggs, CEO of Briggs Freeman Sotheby’s International Realty, writes about luxury, trends, business and more in the advertising pages of the Mansion section of The Wall Street Journal. Below is his letter of October 29, 2021.
FROM MY PERSPECTIVE
Have I got news for you: We are still experiencing an incredibly active housing market.
We have crunched the third quarter’s numbers and they tell quite a story. Whereas some of our markets underperformed a bit compared to last year’s supercharged third quarter, all areas surpassed the third quarter from two years ago. That’s the real test: how 2021 looks compared to a pre-pandemic 2019.
Inventory — the number of homes for sale on the market — is tighter than ever. With fewer homes on the market, unit sales have inevitably decreased, even as heavy competition for homes and multiple bids have led to soaring median sale prices and properties selling for well over their asking prices.
Even if the fevered pace of the market has cooled compared to the last several quarters, property sales and demand for housing remain at historic highs. Our positive outlook for the months ahead is supported by the economic picture at the national level. The stock market is still hovering at all-time highs, while mortgage rates have dipped to all-time lows. The unemployment rate continues to fall, and inflation is expected to taper off next year, according to the Federal Reserve.
The pandemic itself brings its own factors into play. The Delta variant and uncertain school schedules are just two of the variables influencing consumers’ decisions on housing. All these elements taken together signal continued momentum in real estate for some time to come.
If you love crunching numbers, too, come see what we’ve discovered at briggsfreeman.com/market-moves. Our newest quarterly report is there, loaded with information that will help you if you are thinking of buying or selling. And, if you’re on the fence about that last part, we continue to encourage people to take advantage of this hot market and list their properties for sale. Don’t worry about where you’ll live next: We have solutions for that, too.
This is an exciting time — and we can help you make the most of it.