The housing market across the nation has stalled out after the boom earlier this year.
However, according to real estate experts in Bismarck-Mandan, it is still an extreme seller’s market.
Jamie McLean from Integra Realty Group says that there is a low inventory in available houses, giving sellers more incentive to put their houses up for sale.
He said buyers have put in offers for as many as 40 houses and offer to buy a house for $100,000 or more over market value, only to walk away empty-handed.
McLean said one metric that brokers use to determine whether it is a buyer’s or seller’s market is the absorption rate, or how many months worth of inventory they have.
“Right now we are hovering at about two months of inventory, a healthy market is at six,” said McLean.
Lumber prices have trended down recently, but that has not yet reflected on the retail price.
Lumber kits used to build houses spiked earlier this year due to a lumber shortage.
Jeff White from White House Realty says this trend may continue for the near future.
“Lumber was down 45 percent in a single month, but you haven’t seen that really translate to the retail end of it, because those contracts are still in place for the lumber they have,” said White.
According to McLean, right now there are only 183 single-family homes available.
Buyers are encouraged to be ready to buy when looking at a house they may be interested in.