Market Update
America’s housing market has undergone some wild swings over the last two years, but it appears to be settling down a bit. According to Realtor.com®, the number of real estate listings rose by 18.7% this June compared with a year earlier. That marks the second consecutive month of growth and the fastest rise in inventory since July 2017. Of course, this new record growth has a long way to go before the nation’s housing inventory is back to its level before COVID, but it’s still a good sign.
The recent numbers correlate with the recent hikes in mortgage rates. Homes are beginning to remain on the market longer as buyers are being pushed out because they can no longer afford to buy. However, new data released by Freddie Mac on June 30th shows a pause in the mortgage rate increase. As a matter of fact, 30-year fixed rate mortgage rates have already begun dropping slightly. “The rapid rise in mortgage rates has finally paused,” Sam Khater, chief economist at Freddie Mac, said in a press release, “largely due to the countervailing forces of high inflation and the increasing possibility of an economic recession.” This pause will help the market rebalance itself and bring homes back to a more “normal” pace of appreciation.
What does that mean for sellers? List now or forever hold your peace! If you’re on the fence about getting your home on the market, now is a great time to get it sold. If you wait, you may have to settle for price reductions and more days on the market.
What does this mean for buyers? Negotiations are back! Sellers no longer have forty showings in one weekend, and concessions are back in play. Buyers have more time to make the right decisions and more options from which to choose.
The market is excellent for buyers AND sellers right now, and we are here to help! Contact the David Morris Group if you have questions about the Reno real estate market and surrounding areas. We’re happy to guide you through the listing or buying process as the market shifts! Give us a call at (775) 828-3292.
