LITTLE ROCK, Ark. – Home prices in central Arkansas are following the national trend of spiking in recent months.
According to a recent study using the Zillow Home Value Index, home prices in the Little Rock metro are up 7.6 percent.
Chris Marsh, marketing director for Capital Sotheby International Realty, thinks home values will follow home prices, which have gone up the past year in central Arkansas.
“Low inventory, short supply, and there’s a high demand,” Marsh said. “There’s a lot of buyers out there.”
Many homes, he explained, can barely hit the market now before wanting to be viewed by prospective buyers.
“If the sign goes into the ground, there’s multiple calls that day to get in and see the property,” Marsh said.
Right now there is an abundance of buyers and not enough inventory in the housing market. Marsh said there are some buyers who are waiting to find exactly what they want or what they may not want and that keeps the buyer-seller ratio tipped.
“When you can’t find what you want maybe you’re reevaluating what it is that you really need and so you’re able to expand or you’re really narrowly focused on finding that specific property and you’re willing to wait,” he said.
There are some signs the market is slightly stabilizing. More homes are actually making it to market, a change from earlier times when many deals were struck in-house before a home was listed. Closing times have also dropped down to around 30 days from recent weeks when they were pushing 45 days because of backlogs.
Marsh said he doesn’t expect the housing market in central Arkansas to slow down much but does say it is beginning to correct itself, usually at a buyer’s expense.
“Right now, what we’re seeing is buyer fatigue,” he explained. “They’re emotionally and even physically drained for just getting beat down on not getting the deals on the houses that they want.”