In 2020, the housing market in Delaware took a dive in response to the pandemic. As people adjusted to the new normal, the economy resurfaced, primarily as a seller’s market. The number of homes for sale increased significantly during this time, and the prices for homes also went up.
With the demand for housing increasing around the country, and various economic factors increasing the challenge of finding an affordable house for the average prospective buyer, Delaware still holds promise. By the end of 2022, Delaware will continue to be a hot seller’s market. Experts have estimated that the median housing prices will continually increase, through the end of the year, in the majority of Delaware’s counties.
Delaware’s housing market is still an option, despite prices falling slightly higher than usual. The trends of final sale price reductions for homes available in the state are intriguing buyers to consider moving to the First State. Since homeowners are more willing to take lower offers, prospective buyers want to take advantage of this money-saving opportunity while it lasts. For more information on the reasons behind the boom of real estate in Delaware, continue reading below.
Real Estate In Delaware Is A Hot Market
The start of the pandemic established a chain reaction that evolved into a market with factors of high demand for prospective buyers. Some of these factors are as follows:
- high competition due to lower interest rates
- reduced levels of unemployment
- resurfacing economic security
- promising features, including family-friendly areas
- coastal beaches and sceneries of the Atlantic
These promising components fare well with buyers who have had the chance to supercharge their savings during the pandemic. Additionally, the effects of the pandemic have caused many people to rethink what matters most to them, including where they live. Younger people are also focused on buying homes sooner than generations prior.
High Competition Makes A Hot Seller’s Market
High competition has also supported the real estate in Delaware. Demands have increased dramatically, juxtaposed to the imbalanced market, which prioritizes sellers. The low inventory is apparent, and sellers rarely have to try to sell for more.
The shortage of homes in the state has resulted in the viewpoint that homes are a hot commodity, explaining the upcharges for prices across real estate in Delaware. The competition makes higher prices practically a given. Assuming inventory stays low and demand increases, the prices will rise gradually.
The First State Has Average Mortgage Rates
The real estate in Delaware is known for having steady mortgage rates that are within or just above the national average; this is another enticing factor for interested buyers. Although mortgage rates have gone just above the national average in the past few years, many factors influence rates, so it is still quite possible to find an affordable situation here. The average monthly payment for a Delaware home is just over $1,000. Additionally, the state has many first-time buyers’ assistance programs to make purchasing your first home smoother and more affordable.
Homeowners Get Deductions On Mortgage Taxes
Once you are a homeowner in the state of Delaware, you can deduct the mortgage interest you pay upon filing your federal income taxes, as well as for Delaware state income taxes. By including deductions on state and federal tax filings, you double your deductions, making your mortgage interest payments much more affordable. The limited inventory and flexible buyers make real estate in Delaware a hot seller’s market. The understanding that competition rather than financing is the most conflicting issue standing in the way of a home purchase is an intriguing sentiment for prospective buyers looking to take fast action on finding a home.
It Is A Beautiful Place To Call Home
Besides the pandemic-induced factors influencing Delaware’s hot market, people are also eager to move to the First State because it is just a beautiful place to live. Whether you’re raising a family or retiring, purchasing a home in Delaware is unlikely to be a regretted investment. There are many reasons to call Delaware home sweet home, including beautiful, clean beaches, the high-quality water and air, and the total lack of sales tax.
The pandemic and its effects have led many people to rethink their priorities and advocate for a less technology-absorbed, office-captive lifestyle. Spending quality time with family and friends, enjoying the outdoors, and making nature and simplicity focal points, are some of the main goals of people in the aftershock of the pandemic. The real estate in Delaware offers an outdoorsy, family-focused lifestyle.
A Small-Town Feel With Big Opportunity
Moreover, real estate in Delaware is also appealing due to the improving employment rates and an economy that supports diverse businesses. There are also major cities just a few hours away, including New York, Baltimore, and Philadelphia. Despite how hot of a market the real estate in Delaware has become, population is still low, allowing for a small-town feel and sense of close community support.
Its Family-friendly Amenities and Events
Many counties in Delaware are walkable, making it convenient for locals to go about their days with ease. Family-friendly neighborhoods surround playgrounds, walking trails, and lakes, providing an outdoorsy lifestyle for families looking to unplug and reconnect. There are tons of shops and restaurants near these central areas. Many festivals and festivities occur throughout the year in Delaware counties, so there is always something to do and to look forward to when you purchase real estate in Delaware.
More Homes And New Builds
Given the housing shortage, there is also a surge in the number of homes and community centers built to assist with the housing crisis in Delaware. Delaware might be the place for your next move, whether your home sweet home is made from the ground up or a steal from a willing and eager buyer.
Get In Touch With Delaware Real Estate Agents
The real estate market in Delaware is booming. Get ahead of the competition and research available real estate in Delaware to start the inquiry process of house hunting today.