Summer Doldrums or Market Corrections?
Either way, there are opportunities for smart home buyers and sellers!
How we got here:
Lack of inventory pushed prices 20%-30% over the Value Line, which is a homes true value based on inflation. It was predicted that when inventory returned, home values would pull back over time to the Value Line like it has for the past 20 years.
Where we are:
The Market is currently correcting back to the Value Line, without the rise in inventory. The “list prices” of homes going under contract are showing a definite pull back creating huge opportunities:
- Seller’s are still above the Value Line, but need to be cautious about their list price
- Buyers should be out taking advantage of:
- Lower prices
- Lower interest rates
- More flexible lender programs
- Ability to buy a home contingent on the sale of their home for the first time in years.
Where we are going:
Watch both rates and inventory, but inventory has been proven to be a more powerful driver of market condition and prices.
How widespread is the correction?
Pretty wide!
View our new and improved Market Snapshot and see what current market conditions are for your area.
For MORE DETAILED information on these market conditions, watch or listen to Coffee with Casey. New episodes every Thursday!
Written by Casey Samson, do not copy without consent.
