Updated: Jan 27
Excerpts from the 1/22 Street Talk Radio Show with Chris Davies .
•Before we put 2022 behind us and head to 2023, let’s look at a few of the real estate statistics for 2022, which are a bit surprising.
•The second half of the year slowed down, but the overall stats for the year in the northwest exceeded expectations.
•Home appreciation was 10.5% with the high point of the year occurring in May.
•With inflation and interest rate concerns, the market slowed during the fall.
•Prices have since stabilized but the real factor in the market today is low inventory.
People are anxious to talk doom and gloom, but that’s just not the situation
•Remember, if you are holding a home for 5 or ten years, you don’t have to worry about quarterly changes in the market. Today, many homeowners expect instant gratification with home values and want to see a tidy profit in a year. Home values are up 42% since 2014!
How is the market changing?
•Last year just over five million homes were sold nationally, the lowest level since 2014.
•There was a big pause in the fall with changes in mortgage rates and inflation concerns. Buyers chose to write offers, “sleep” on it, and ultimately decided not to submit as they waited to see what happened in the market.
•Buyers have reemerged as interest rates stabilize. Buyers need to get past the idea of 3% interest rates and work with the rates and opportunities presented today.
•As one buyer leaps in the pool, others are more likely to follow suit.
•Homes that have been on the market awhile (especially during that fall window) are going pending at a faster rate indicating increased Buyer confidence.
Is it time to jump?
If you are interested in jumping into the market, the rates are the lowest since September. And if you are selling, low inventory may make your home more valuable.