Thursday, January 5, 2023 / by Nick Waldner
Why our housing market is slowing and how it affects your home.
Due to the recent interest hikes, many of my clients have been asking me: Is the market slowing? The simple answer is yes, the market is slowing down a bit, but here’s a good follow-up question: Is it still a good time to sell?
The first thing we want to talk about is the number of homes on the market. It has increased significantly, which means there are more options for buyers. Interest rates have also been rising, which will decrease the demand from buyers. In simple economic terms, supply is increasing, demand is decreasing.
However, we're still way below pre-pandemic levels of inventory. So even though it’s rising, it's still way below where it used to be. We used to see 15 to 25 offers on a single house a few months ago, but now demand has dropped, and we might see one or three offers on a home.
Even though you may hear about inventory rising and buyer demand decreasing, it is still an incredible time to sell your house. Rates have risen, but so have values—they are up almost 34% in our market.
We won’t continue to see this level of increase in value. It will start to taper off, but it won’t decrease—it will flatten a bit. So if you're thinking about selling, now is still a phenomenal time. Buyers are still out there looking.
If you have questions, I'm happy to go over those with you. Call or email me. I look forward to hearing from you!