Update: How's the Market?
Curious about the current market?
The holiday season is here and the year is coming to a close. As we head into the final month of 2022, people are wondering what is in store for the housing market. Specifically, is it still a good time to buy and/or sell a home? Let’s review a few key stats that show that the market is not as scary as some may believe.
First, let’s talk about the fear of foreclosures. Due to rapidly rising home prices over the last two years, the average homeowner has gained record amounts of equity in their home. This has helped the mortgage delinquency rate fall to its lowest level since MBA’s survey began in 1979, 3.45%. Because of the equity in their homes, many homeowners are able to sell instead of facing foreclosure.
We all know that mortgage rates have risen significantly in an attempt by The Fed to balance the economy. The peak of buyer demand during the pandemic caused a shortage of homes, which led to a highly competitive market. Now, higher mortgage rates and home prices have helped moderate buyer demand, which has slowed down the pace of sales. And, as the pace of sales has eased, inventory has grown as a result.
Sellers are still able to remain competitive, but need to be sure they are taking all of the right steps to work with their buyers. Pricing their home correctly, making slight modifications, and meeting buyer requests are all something that an experienced agent can help with.
If you’d like to chat further about current market trends or if there is anything I can do to help you achieve your real estate goals, please don’t hesitate to reach out.