If you’re trying to construct a picture of the quickly changing real estate market, we can help.
If you’re a seller, you’re concerned about how mortgage rates impact your potential buyers. If you’re a buyer- you’re worried about how rates will affect your purchasing power.
Will the pendulum swing hard towards buyers? That is, will it become a buyer’s market? Not so fast.
What You Might Want to Consider:
There is Lower Volatility Than Expected.
New York is the least volatile market in the US. Prices never reached new peaks, and rarely every drop more than 10%. If there are drops of more than 10%, such as 2020 COVID and Q4 2008 during the Great Recession, the rebound has been FAST.
Lower Inventory Than Expected
we’re putting all of the pieces together.
Inventory is actually about HALF of what is expected this time of year. How will that impact the price softening that so many of our clients are concerned (or happy) about?
Not the Buyer’s Market Everyone Expected
It’s not the seller’s market of the past 18 months, which saw prices pushing back up to 2018 levels. But it’s not a buyer’s market, either. Suburban markets and many other cities are already seeing price drops. But we’re only seeing 2-5% softening to date. We’re expecting a much more balanced market than elsewhere. There’s just too much certainty today, and ability to look at historic trends.
If You’re Thinking About Buying, Don’t Sit On The Sideline
If mortgage rates rise again, you’ll be happy you bought today, because price softening won’t keep pace with it. If rates drop, prices will almost certainly rise- and you can refinance. So don’t wait on the sideline. Get educated, so you can jump when you find opportunities in the market.
Be in touch! -Scott