Some Homeowners Will Benefit from Other Sellers Going on a So-Called “Strike” This Spring (Are You in a Position to Take Advantage?)
The Lighter Side of Real Estate • April 16, 2023
The spring real estate market isn’t necessarily the best time to sell your house; you can get your house sold quickly and for top dollar at almost any time of year if you price it appropriately and it’s marketed correctly. But spring is definitely a time of the year many homeowners opt to sell their house.
It’s not a bad choice, since there are typically more buyers active in the market looking to buy a home. Plus, there’s a certain energy to the seasonally-driven market which just makes it feel like the perfect time of year to get your house sold quickly and for as much money as possible.
Then again, there are usually also more sellers to compete with in the spring as well, which can take away a bit of the edge you might have when selling during a time of year with less competition. But not this spring…
According to this Yahoo article, many sellers have gone on “strike” this spring, opting to not put their house up for sale.
It’s not that prospective sellers have all colluded as a group to do so; it’s that there’s a good amount of homeowners who have incredibly low mortgage rates on the house they currently own. This is causing some people to hold onto their current house because buying another one would mean taking on a higher mortgage rate.
That’s a fair reason for certain people not to sell this spring, but it’s also the exact reason it makes sense for other people to sell their house now!
Who Should Consider Selling This Spring?
Whether you have a low mortgage rate on your current house or not, there are still some reasons you might want to consider selling now, such as:
- You’ve been considering moving to a lower cost area. If you live in a high-priced area and have been thinking about moving to an area with lower priced homes or living costs, now is a great time to sell and reap the benefits of selling high and buying low somewhere else.
- Moving out-of-area for work. While moving for a job isn’t something you can always time, now is a great time to do so if you have any say in the matter. So if there’s been any hint of having to move for your career, you might want to put that into motion now.
- Moving closer to family. Whether you have aging parents, kids, or grandkids you need (or just want) to be closer to, selling this spring could be the perfect timing.
- Divorce. Deciding when (or even if) you’re going to sell a house due to divorce isn’t always an easy decision. But if you’re in the process of divorcing and it looks like you’ll have to sell your house within the next year, it might make sense to do it during this spring market if all parties can agree to do so.
- Downsizing. Whether you’ve had too much space for quite some time, or are a recent empty-nester and just know you should eventually downsize, you should think about putting your bigger house on the market to capitalize on a pool of buyers hungry for a large home. (This is especially true for anyone who’s been living in their house for decades and has no current mortgage, has a second home to move into, or is planning on moving into a retirement home or assisted living facility.)
- You simply don’t like where you live. Life is too short to live somewhere you don’t love.
Why Should You Consider Selling This Spring?
If you fit into any of those categories, you might want to seriously consider putting your house on the market this spring and take advantage of the current market conditions, such as:
- House prices are still historically high. While there is data showing that prices have come down a bit in certain areas, they are still higher than they were just a few years ago. In fact, according to Robert Shiller — a Yale University professor of economics and co-founder of the Case-Shiller Index — “Home prices are very high by historical standards…”
- Prices could come down in the near future. There’s been a lot of talk about home prices coming down, yet it just never seems to happen on any catastrophic level. Hopefully it won’t happen to that degree. But while there’s no way to predict when or how much they’ll come down, historically the market eventually takes a dip every so often, and we’re probably due for one sooner than later.
- Less competition from other sellers. There hasn’t been enough houses for sale to satisfy the number of buyers looking to buy a home for the past few years, but the number of listings is down even more this year. CNBC reported that listings are down 20% from this time last year, and that it’s half the amount of homes available at this time of year in 2019, before the pandemic-driven real estate market took off.
- Eventually more Baby Boomers will decide to sell…and there are a lot of them. Economists and real estate experts have been predicting for years that there would be a lot of Boomers selling their houses at the same time. But every year it seems that the majority of them continue to hold onto their homes. At some point there will likely be a wave of their homes hitting the market, which could possibly impact how quickly you could sell your house, and the price you could get if the amount of listing exceeds buyer demand at that time.
The Takeaway:
Many homeowners have a low mortgage rate, which makes them hesitant to sell their house. This creates an opportunity for other sellers to capitalize on less competition and historically high home prices during this spring market.
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Why Rising Foreclosure Headlines Aren’t a Red Flag for Today’s Housing Market If you’ve seen headlines saying foreclosure activity has been climbing for 10 straight months , it’s easy to assume that's a sign of trouble for the housing market. But when you look at the full picture, a few simple truths become clear: Today’s foreclosure numbers are in line with what’s considered normal High home equity is keeping most homeowners in a strong financial position None of the data points to a big wave of distressed sales that’ll crash the market Foreclosure Filings Are Up 32%, But That Doesn’t Mean the Market’s in Trouble If you peel the layers all the way back, what everyone is actually worried about is that we’re headed for a repeat of what happened in 2008. Back then, riskier lending practices and an oversupply of homes for sale brought home prices down and led to a significant increase in foreclosures. A lot of people felt the impact. But this isn’t the same situation. Yes, ATTOM data shows foreclosure filings are up 32% year-over-year. And that increase is going to sound dramatic. But context matters, and it doesn’t mean we’re headed for another crash. And the numbers prove it. Take a look at where we were during the last crash (the red in the graph below). And where we are now (the blue): Even with the uptick lately, we are still nowhere near crash levels – far from it. This isn’t a return to crisis levels. What it is, is a return to normal. The graph below shows foreclosure filings going all the way back to early 2005. The lead up to, and the aftermath of, the crash is there in red. Those are the years when foreclosure filings went above the 1 million mark each year. Now, look at the right side and scan back to the 2017–2019 range (the last truly normal years for housing). You’ll see we’re actually just starting to fall back in line with what’s typical for the market, even with the increase lately: Rob Barber, CEO at ATTOM, explains it well: “ Foreclosure activity increased in 2025, reflecting a continued normalization of the housing market following several years of historically low levels . . . While filings, starts, and repossessions all rose compared to 2024, foreclosure activity remains well below pre-pandemic norms and a fraction of what we saw during the last housing crisis . . . today’s uptick is being driven more by market recalibration than widespread homeowner distress, with strong equity positions and more disciplined lending continuing to limit risk.” The word “normalization” in that quote is extra important. While economic and financial pressures are putting a strain on some homeowners, this isn’t a flood of distressed homes. No matter what the headlines may have you believe, this isn’t a large-scale crisis. Today’s increase isn’t a sign of trouble. It’s a return to normal. Why This Isn't a Repeat of 2008 Even though the last housing crash still shapes how a lot of people interpret today’s news, the reality is, this is a different market: Lending standards are stronger Borrowers are more qualified And homeowners have far more equity And that equity piece is especially important. Over the last five years, home prices have risen significantly. For many people, their house is worth far more than they paid for it. That means most homeowners have a strong financial cushion to fall back on, if needed. Basically, if someone faces hardship today, they often have the option to sell, and maybe even walk away with money in their pocket, instead of going through foreclosure. That’s a major contrast to 2008, when many homeowners owed more than their home was worth. Bottom Line Foreclosure activity may be rising, but it’s still well within a normal range – and nowhere close to the danger zones of the past. But the headlines are doing more to terrify than clarify. And that’s exactly why having a trusted real estate expert you can call on is so important. When you hear something in the news or see something on social about housing that worries you, please reach out so you have the context to understand what’s really happening and how it impacts you (if at all).
Home Updates That Actually Pay You Back When You Sell Planning to sell this spring? While you may be tempted to hold off until the first blooms or the spring showers hit, that's actually waiting too long to get started by today’s standards. Buyers have more options than they did a few years ago. So, it's worth it to tackle repairs now and make sure your house is set up to stand out. Because you don’t want to be caught scrambling right before the spring rush. Or, running out of time to do the work your house really needs. The key is focusing on updates that actually matter. And that’s exactly where return-on-investment (ROI) data comes in handy. Which Projects Tend to Pay Off? Every year, Zonda looks at which home improvements deliver the most bang for the buck when you go to sell the home. And the results can be a little surprising. The green in the chart below shows the updates where sellers have the biggest potential to add value based on that research: While there's a wide range of projects represented in this data, the cool part is, some of the top winners aren’t big to-do's. They’re just swapping out doors. Small Updates, Big Visual Impact This goes to show little projects can have a big impact. So, you don’t have to spend a fortune. And you don’t need to tackle everything on this list. But in today’s market, doing nothing can work against you. Now that buyers have more homes to choose from, a lot of them are going to opt for what’s move-in ready. The best advice? Focus on what your house needs, whether it’s listed here or not – like the repairs you’ve been putting off. A front door or shutters in need of a little TLC. Piles of leaves in the yard. Scuffed up paint where your kids play inside. Those details matter too. Mallory Slesser, Interior designer and Home Stager, explains it to the National Association of Realtors (NAR) this way: “If you’re looking for affordable updates that pack a punch, dollar for dollar, I would say painting; changing out light fixtures; changing out hardware; maybe new draperies or window treatments. Those are all cost-effective ways to make a big statement. It really changes the space.” These seemingly small things help buyers focus on the home itself – not the work they think they’ll have to do after moving in. And that’s paying off for other sellers. Buyers are often willing to spend more on homes that feel well cared for, updated, and move-in ready. This Chart Is a Starting Point, Not a Strategy Here’s the important thing to remember. National data like this is a guideline. Buyer preferences are going to vary by location, price point, and even neighborhood. That means a project that boosts value in one area might be unnecessary (or even overkill) in yours. That’s why the first step should always be to talk with a local real estate professional before you start. An experienced agent can help you answer questions like: Which updates do buyers in your market expect? What can you skip without hurting your sale? Where will a small investment make the biggest difference? Is it better to update, or sell as-is ? That guidance helps you avoid over-improving and under-preparing. Bottom Line If you’re looking to sell this spring, you still have time to make updates that help your home stand out – without taking on a full renovation. If you’re not sure where to start, let’s talk through what makes sense for your house. A quick conversation can help you prioritize the updates that’ll pack the biggest punch. What’s one upgrade you’ve been thinking about – and wondering if it’s worth it?
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