Here’s what’s happening in our market and how to take advantage of it.
Today I want to give you an update on our local real estate market. I’ll be sharing my screen throughout the video to show you different statistics, but if you prefer to read, I’ll discuss them below as well.
“The market shift is a good thing for highly-motivated buyers and sellers.”
I’ll begin with some numbers that matter to me; namely, the average days on market are increasing across the board. This is a good real-time indicator of the market because it’s determined by supply and demand. Since they’re rising, I can confidently say our market is slowing down a little bit. However, we aren’t heading for a crash. I’ve been saying it for eight months, but it’s a pullback, not a crash, and it might not be a bad thing.
What does the pullback mean for you? Mainly, it’s a good thing for both buyers and sellers, but only if they’re highly-motivated. For buyers looking to upgrade your homes into the $1 million range, there’s less competition currently, and the price of money remains low because of low interest rates.
For sellers, it’s a mixed bag. The 12% to 18% appreciation we’ve seen over the last 18 months is going away, and it probably isn’t coming back. For example, an average home in 2018 was $390,000, while today it’s $510,000. That’s crazy and, frankly, unsustainable. That being said, we still saw good appreciation before the pandemic. We’re likely returning to those pre-pandemic levels of appreciation, and that’s great for sellers.
Our market is shifting, and some agents don’t have the experience to deal with it. If you want a senior agent to help you through this challenging market, please give my team a call. If you have a dream, we have the address.
