In a monthly survey, Credit Suisse concludes that real estate agents are currently focused on strong buyer demand, due to the current shortage of available housing, particularly in the affordable price range.
Limited inventory is one of many major themes taking shape as the spring buying and selling season revs up. Housing markets in the Southern U.S. have seen an influx of in-migration, "driven by employment and lifestyle changes, and supporting ongoing gains in traffic," agents reported in the survey, MarketWatch reports. Another trend agents noted in the survey was that buyers are more willing to "drive until they qualify," moving farther out to the periphery where homes tend to be more affordable.
The threat of rising mortgage rates is also starting to be felt. That “got many buyers off the fence,” as one survey respondent in Houston said. In 36 metro areas Credit Suisse surveys, 23 said incoming rate increases were motivating buyers. Still, as one Seattle real estate agent put it, “Rate increases are causing a sense of urgency, but there is not enough inventory to sell.”
