Many potential buyers in the housing market are waiting \u2013 waiting for home prices to drop, waiting for interest rates to fall, or maybe a bit of both. Everyone wants to buy at \u201cthe bottom\u201d, but what exactly does that look like?<\/p>\n
What happens if \/ when those things DO happen?<\/p>\n
What happens when everyone jumps off the fence at once?<\/p>\n
Right now (unlike ~6 months ago), buyers are having their way with offers. Generous seller concessions to cover costs \/ prepaids \/ rate buydowns, etc are the status-quo, along with below-asking offers being accepted, in many instances. To counter the buyer\u2019s market, supply is going to remain challenged for the foreseeable future. With (general) affordability issues being a problem in virtually every household, many people are hunkering down (read: staying put). To compound this, if you financed a home prior to 2022, you probably have a 2-3% interest rate, which will make it even less likely that you\u2019ll want to buy up or down in the market. Finally, builders aren\u2019t overbuilding, as many remember 2008 (either through their own experience, or another builder they knew, that went out of business). They don\u2019t want to be stuck holding the bag (inventory), again.<\/p>\n
If we do experience a significant price \/ rate drop, it will more than likely be coupled with a limited supply of homes. When everyone that has been waiting for \u201cthe bottom\u201d jumps off the fence at once, it\u2019s going to get interesting…It wouldn\u2019t be crazy to think that it could create a boomerang back to a seller\u2019s market, with 10 offers on a home in one day, and the winning bid being thousands of dollars over asking price.<\/p>\n
Just like that, the \u201cbenefit\u201d of a reduced price or rate could be wiped out by competition, and a shift back to a seller\u2019s market.<\/p>\n
Final thought: if rates DO drop, and you DID buy, you can always take advantage of a subsequent refinance\u2026<\/p>\n
If you are sitting on the fence, or waiting for the bottom, let\u2019s discuss \u2013 your options right now may be better than you believe them to be. Contact me today,<\/a> or call me at 520-488-3063<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Many potential buyers in the housing market are waiting \u2013 waiting for home prices to drop, waiting for interest rates to fall, or maybe a bit of both. Everyone wants to buy at \u201cthe bottom\u201d, but what exactly does that look like? What happens if \/ when those things DO happen? What happens when everyone […]<\/p>\n","protected":false},"author":26,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-594701","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"\n