Friday, November 25, 2022 / by Jake Uriegas
Have you heard these crazy things about the real estate market right now? Things like…
• The market is tanking
• We're going into a housing crisis
• Now is the worst possible time to buy and sell
As your local real estate expert, I'm here to give you the real story, backed by data, on home selling or buying in our local market. Let's start with home sellers.
Is now a good time to sell a home?
This is the question many potential house sellers are pondering, especially following last year's rapid increase in home values. Most experts, including myself, think that NOW is still a good time to sell your house.
Even though the market has cooled in recent months and home prices are decelerating, it continues to be an excellent time to sell. There are several reasons, including continued buyer demand and an ongoing shortage of housing inventory, primarily due to almost 15 years of under-building homes. This won't be the case forever, though. With more homes for sale than a year ago, we see a shift in the housing market's seller-buyer equilibrium.
Rising mortgage interest rates are another reason why listing your home now may be beneficial. If rates go substantially more, prospective buyers may abandon their property search.
Now, what about buying in this market?
If you’re a buyer, waiting may not be in your best interest. Although interest rates are higher than we have seen in a while, a great way to hedge against inflation is to become a homeowner.
We are experiencing increased prices across the board in our economy right now. Locking in your largest monthly payment, your mortgage, is a great way to protect yourself against rising costs. Property taxes will increase, and other expenses may creep up, but your monthly housing payment will remain the same.
In addition, rent prices continue to rise, so purchasing a home now is an excellent way to protect yourself from future rent increases. And regardless of interest rates, historically, real estate has been one of the safest places to put your money, recession or not.
So while the data points to the fact that it's a great time to sell or buy a home, there are numerous essential questions to sort through, both financial and personal, before making a move. If you are considering buying or selling, don't listen to the drama. Instead, let me show you accurate data in your local area and price range so you can make the best decision for your family.
Photo by Lukas