Welcome to the Great Hunkering Down

What is the Great Hunkering Down, you ask?

It is a term I invented to describe the current real estate marketplace. We have, at the moment, next to no inventory in a time of year where we normally see houses hitting the market in droves. And we’re not alone in this - it is a national phenomena.

The reasons that I see - and feel free to disagree - that there is great uncertainty upon the land. We’ve just come through the traumatic shock of Covid, we had violence in the streets in many major cities, inflation is at levels not seen in four decades, and the war drums are beating. On top of that, you are trying to buy a home which is highly stressful all by itself.

I don’t know about you, but my crystal ball is totally fogged. I have no idea how any of this plays out in the next year and the next decade.

Human nature is such that, when faced with this level of anxiety and stress, human beings tend to shut down. It is a survival mechanism left-over from our days on the savannah. We focus on the core necessities of the moment. Long-term planning, creativity, and deep thinking are all effected.

But, we are not being threatened by a lionesses salivating over the tasty morsel that we might be. That kind of threat triggers the ‘fight or flight’ response that we know so well.

Instead, we have a bunch of perceived threats combined with no means of adequately influencing the outcomes. We don’t know if flight is better - though the mass exodus from certain cities shows that is some people’s answer - or fight is better.

Without a clear course of action for the majority, we freeze and consolidate our resources. So, if you have a home in an area that is not threatening to you, you stay put, hunker down.

When it happens on a scale this large, I think capital letters are warranted, thus the Great Hunkering Down. If people are not moving, up-sizing, down-sizing, right-sizing, selling their homes, we get the constrained inventory supply that we see today.

I’ve seen a version of this before. In 2008, we had the financial crisis that brought “too big to fail” into our lexicon. Then, like now, great uncertainty invaded our mostly happy world. The biggest difference was that was a sudden event in the news. Today, we are dealing with a rolling litany of negative news.

The good news is that this too shall pass. For all the frustrated buyers out there, be patient, take deep breaths. As with 2008, everything runs in a cycle, the pendulum continues to swing, and you will find that home.

The best of luck to you. If there is anything I can do to help, let me know - even if it’s a question you need answered instead of an inspection job. I’m a fount of information and have a wealth of answers for you about homes and home inspections,