We all know how crazy the housing market is right now. From all-cash offers to homes flying off the market within hours of being listed, to waived inspections and appraisals, the demand for real estate has been sky high. The reason for this can be attributed to many factors related to the pandemic.

As we return to a somewhat normal life after quarantine, home buyers are considering looking for a home again. According to many current predictions for the fall and winter coming, this might be the right thing to do. While there is no way to predict the market, we can gather information from the indications that we may be going back to a market that is a little bit more like what we are used to. We’ve included some of the biggest points in these indications from the current market analysis. 

The most recent data is indicating that buyer demand is starting to slow down.

“The US Commerce Department recently released data that shows that demand for single-family homes dipped in May by 5.9 percent, a one-year low. While this decline is suggestive, it must be remembered that it is in comparison to a uniquely overheated real estate market.” – Reminder Media

A few reasons buyer demand is decreasing:

• People are going back to the office for work, thus making it more difficult to search for homes than when they were working from home.
• Vaccines are more available to the public, and this is allowing people to go on vacations and go to social events.

Whatever the reason, demand is in fact slowing, and this means that inventory will increase (slowly). This increase will help to alleviate the competition between buyers. 

Sellers are ready to sell their homes again.

People looking to sell their homes kept them off of the market for many reasons during the pandemic, including the fear of strangers who may be sick with the virus walking through their home, or just general anxiety about having to move during the pandemic.

When the housing market began heating up, sellers were also understandably worried to list their homes for fear they wouldn’t be able to find one to purchase. 

Other sellers waited to list their homes, waiting to see how high market valuations in their neighborhoods would rise. And so now that the market is most likely nearing its peak, these sellers are ready to cash out.

In June, listings increased by 6.7% per month. This is good news for buyers as it will help slow down price increases through increased supply.

Mortgage rates are predicted to stay the same or rise slowly.

This is good news for buyers that are already having to go above their budgets in order to purchase homes at such high rates. While the rates rise, it will be vital for buyers to shop and compare multiple mortgage lenders. 

While prices are predicted to stay high, some of the competition may lessen.

In general, a more stable market in and of itself is good news for buyers and sellers, and it might take some pressure off of buyers who have been discouraged in the buying process this past year and a half. It is projected that the next 4 months will see increased inventory and availability of homes.

If you are just starting to look for homes or you’ve been discouraged in your search in the last year, the time to dive into looking for your new home is now. Embarking on this endeavor doesn’t need to be stressful. It’s an exciting time, and we’re here to help you and make sure it’s as smooth a process as we can make it.

We’d love to help you through the home buying process. Get in touch with us today: masondiasiorealty.com 

source : Reminder Media