What a Year !

WRITTEN by Jo Ceglarek & Lynn Bjorvik

The 2023 Real Estate Market hasn’t been for the faint of heart, and we like to think that we’ve conquered the ride!  (Even with half a month left of the year)

⬆️ Might we be fueled by magic fairy dust like Rudolph??? (Be honest-did you see it before we pointed it out?)

What fun is boring and monotonous, anyway?

For our clients that ‘rode the market’ with us, you know what we mean.  And for those that didn’t – We assure you that the market is nothing to be afraid of, UNLESS, you’re represented by unexperienced individuals, and why would you choose that?

Current Market Activity 📊

Remember the drop in buyer activity that we told you about last month? We wanted to clarify a little – there is buyer activity —— buyers are looking at properties, (Yes! Even with 7.5% rates!!) AND making offers IF the property fully suits their needs.  There are even some properties that have garnered multiple offers this month. (Yes! In December!) The buyer activity doesn’t rival the swarms that were looking to buy properties at 2% and 3% interest rates, and there’s pros and cons to that from both sides, however, 📢 Buyers Are Out There!     Property price points have experienced decrease, yes, yet there hasn’t been a shift from a seller’s market to a buyer’s market, which means sellers are still benefitting from a nice amount of equity in their properties.  Speaking of nice amounts of equity – a LOT of you/us experienced a tax increase if your area re-assessed, and this is likely due to increased property values the last few years, as well as increased homeowners insurance costs.  Make sure you stay up to date with your tax exemptions as this can help give a credit toward your charged amount by the county.  We can help if you need.

👀 Looking Ahead

As we mentioned, property price points have experienced decrease, yet there hasn’t been a shift from a seller’s market to a buyer’s market, and with the pent up demand of buyers needing properties, caused by the decreased inventory in most areas, we expect that price points will not see a significant decrease in 2024 either. As a matter of fact, if the Feds cut rates throughout 2024 as we think they will, it can possibly result in MORE buyers in the market and maybe even INCREASED property price points.  While we don’t expect sharp or sudden decreases in mortgage rates, we do think they’ll start coming down, and while this could help with buyer afford-a-bility, if/when price points go up…. well, it may not result in new-found affordability for said buyers after all.     So, what can buyers do?         Try to avoid any ‘rush’ if possible.   You know who to call to help you, right?    *hint* The J&L Team!

Until next time…