Is the housing market… shifting?

[Repost from May, 2022] 

I recently had a chance to connect with other realtors nationwide during a weekly real estate coaching call, and it was brought up that many of the realtors are starting to see the sign of ‘market shift’ – 

We have been in a strong seller’s market in the past couple years, and this may be the time when the market will shift towards buyer’s market. 

Some of the signs that were brought up were: 

  • Less competition in a multi-offer situation: 
    • It has been a very common trend for sellers to receive multiple offers on their house recently, but the number of other offers (=competition) has seems to gradually decline in such situations. 
  • Number of days of homes on the market is gradually increasing: 
    • Though it depends on the area/subdivision, the number of days of listed homes on the market seems to have gradually increased – Keeping in mind, homes were selling in much shorter time than traditional average in the past year. 
  • Home listing price is keeping steady: 
    • Price of homes had spiked up throughout 2021, but has been keeping steady in the first few months of 2022: While the average median home sale price is up from 2021. 

So, will we be transitioning to buyer’s market soon?

Keeping in mind that the interest rates are rapidly increasing (from low 3%’s to mid-5%’s on 30 year loan in the past 4 months!), and number of homes on the market still in scarcity, it will likely take some time for the market transition. 

Also, spring to summer is the hottest time for housing market traditionally, so my anticipated trend is that the inventory will increase in the next coming months. 

So, if you are thinking of buying this year, this may be the last chance to lock in the lowest interest rates with best home prices!

Please contact me to get more insights and real estate advice! 

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