A Message From Our CEO | February 2021
As we move into 2021, I wanted to thank all our clients, friends, family, and partners for your business and ongoing support. Every member of our team is appreciative and humbled that you have trusted us to assist you with your real estate goals. It has been our honor to act as your trusted partner and to help you navigate the current real estate market, truly one of the most interesting in history. Thank you all.
The Vermont real estate market in 2020 was unlike any previous year. After the pandemic essentially shut down transactions heading into March, clients and agents alike were nervous and unsure of the future. However, once it opened up again in the June time frame, the flood gates opened, and the market was crazier than ever. While Closed Sales in our area were down year over year by 4.2%, median sale prices were up across the board at 8.7%. To put that into perspective, a home sold for $400,000 in 2019 would have sold for $434,800 in 2020. Some towns, like Williston, experienced more substantial increases where a single-family home jumped from $379,500 in 2019 to $480,000 in 2020.
During the global pandemic, Vermont proved to be a haven of relative safety from the virus, with nationally recognized low infection rates. This status attracted an increased number of out of state buyers, who in many cases were purchasing homes site unseen. This fact coupled with historically low interest rates increased demand on an already low inventory of homes which drove sale prices higher each month. All in all, 2020 was a wild ride. So, what’s in store in 2021?
Without a crystal ball, we rely on other factors to forecast the market. Interest rates are low and appear they will remain that way for the near future. The containment of the Coronavirus remains elusive and vaccinations are proceeding slower than anyone would like. This all leads us to believe that 2020 trends will continue, and prices will likely increase another 8% or more in 2021.
So, what does this all mean to you? It is still a great time to sell!
The equity in homes has increased as a result of these forces. This equity and the low interest rates are allowing sellers to make the move to sell and upgrade their homes while maintaining a similar monthly payment. Our friends, clients and referrals are calling, wanting to know what to expect in the coming months and how we can help them. We are more than happy to assist them in taking advantage of this unique time in Vermont Real Estate. We encourage you to do the same. Even if you are unsure if this is the best time for you, it costs nothing to find out where you stand in this new market landscape and learn what your home is worth. Now more than ever, you need the best team of realtors in your corner. We are honored to be that team for you.
Again, thank you for all your support and business in 2020. We look forward to working with you in 2021 and beyond.
-Nate Malley, CEO, The Malley Group