Why Did More People Decide To Sell Their Homes Recently?

As summer winds down, homeowners typically slow their moving plans, leading to a decline in homes listed for sale in the fall—a predictable trend in real estate. However, this year was different. With mortgage rates decreasing just as the market usually begins to cool, more homeowners opted to sell, resulting in an uptick in available properties.

Recent data from Realtor.com shows that in September, the number of Chicago homes for sale increased by 11.6% compared to the same time last year.

As the green circle in the graph below shows, the typical September decline in homes coming to the market didn’t happen – that number actually went up (see graph below):

Ralph McLaughlin, Senior Economist at Realtor.com, explains the phenomenon: “This sharp increase is largely due to the decline in mortgage rates in mid-August, enticing homeowners to sell.” As rates fell at summer's end, many decided it was the right time to enter the market.

What Does This Mean If You’re Looking To Buy a Home?

For buyers, this translates to more fresh options than in recent months—not just properties that have lingered unsold. However, it’s essential to keep an eye on the current volatility of mortgage rates, which have recently ticked upward. This fluctuation may affect how many homeowners feel comfortable selling in the upcoming months, making mortgage rates a key factor in homeowner decisions.

Why Buy Now, Rather Than Wait?

Whether you’re searching for a starter home, looking to upgrade, or considering downsizing, now is an excellent time to explore your options. The increased inventory won’t last forever, so working closely with a trusted real estate agent is crucial to stay updated on the latest listings.

Remember, one month’s data doesn’t establish a trend. The future of home listings will depend largely on mortgage rates and broader economic factors, including inflation and employment trends.

Given this landscape, now might be the ideal moment to act while more homes are available.

Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), notes: “The rise in inventory—along with the accompanying months’ supply—means home buyers are in a much-improved position to find the right home at more favorable prices.”

Bottom Line

With mortgage rates falling at the end of summer, more sellers have entered the market, providing buyers with a wider array of choices. If you're looking to navigate this evolving landscape, connect with our team at MPG...We’re here to help you find the perfect home in today’s market before the best options are gone!