Fall Forecast for Homebuyers
Photo credit : Hibusiness
Fall Forecast for Homebuyers
Home sales in the spring and summer are usually the hottest time of year for realtors. This year has been no exception. Even with higher sales prices and increasing interest rates, real estate markets across the country continue to experience a healthy crowd of buyers and a shortage of inventory. This means that there are not enough homes for sale to meet the number of buyers who are looking to purchase.
How Does the Market Respond to Low Inventory?
- New construction: Builders can help by increasing the available number of homes for sale. This is a great option if you have time on your side.
- Soliciting Sellers: Realtors reach out to current homeowners to see if they want to sell their home for top dollar.
- Multiple offers are starting up again. Be ready to give your best offer the first time to win!
- Investors are also buying and reselling properties for a profit after repairs. This can create a challenge for affordable housing because the investors often buy lower priced homes with cash, which may be more attractive to a seller than someone with a loan who may ask for repairs or some form of concession. Once the repairs are completed, the home is then sold for a higher price.
Looking Ahead
Normally real estate market activity slows down in the cooler months. This may be a better time for buyers to search for a home with a little less pressure. Sellers may be willing to be more flexible if the home has been sitting on the market for some time. At least until the end of the year, we anticipate that home prices will remain stable and interest rates may take a slight drop later in the year.
