Think Twice Before Waiting for Lower Home Prices

 

As the housing market continues to change, you may be wondering where it’ll go from here. One factor you’re probably thinking about is home prices, which have come down a bit since they peaked last June. And you’ve likely heard something in the news or on social media about a price crash on the horizon. As a result, you may be holding off on buying a home until prices drop significantly. But that’s not the best strategy.

A recent survey from Zonda shows 53% of millennials are still renting right now because they’re waiting for home prices to come down. But here’s the thing: the most recent data shows that home prices appear to have bottomed out and are now on the rise again. Selma Hepp, Chief Economist at CoreLogic, reports:

“U.S. home prices rose by 0.8% in February . . . indicating that prices in most markets have already bottomed out.”

And the latest data from Black Knight shows the same shift. The graph below compares home price trends in November to those in February:

 

 

So, should you keep waiting to buy a home until prices come down? If you factor in what the experts are saying, you probably shouldn’t. The data shows prices are increasing in much of the country, not decreasing. And the latest data from the Home Price Expectation Survey indicates that experts project home prices will rise steadily and return to more normal levels of appreciation after 2023. The best way to understand what home values are doing in your area is to work with a local real estate professional who can give you the latest insights and expert advice.

Bottom Line

If you’re waiting to buy a home until prices come down, you may want to reconsider. Let’s connect to make sure you understand what’s happening in our local housing market.

Two Reasons You Should Sell Your House

Two Reasons You Should Sell Your House

Wondering if you should sell your house this year? As you make your decision, think about what’s motivating you to consider moving. A recent survey from realtor.com asked why homeowners are thinking about selling their houses this year. Here are the top two reasons (see graphic below):

Let’s break those reasons down and explore how they might 

resonate with you.

1. I Want To Take Advantage of the Current Market and Make a Profit

When you decide to sell your house, how much you’ll make from 

the sale will likely be top of mind. So, here’s some good news: according 

to the latest data, the average seller can expect a strong return on 

their investment when they make a move. ATTOM explains:

    “The $112,000 profit on median-priced home sales in 2022 

represented a 51.4% return on investment compared to the original 

purchase price, up from 44.6% last year and from 32.8% in 2020.”

Even though home prices have declined slightly in some markets, 

they’re still much higher overall than they were just a few years ago. 

To understand what’s happening with home prices in your area and 

the current value of your house, work with a local real estate professional. 

They can give you the best advice on how much you could gain if you sell this year.

2. My Home No Longer Meets My Needs

The average person has been in their house for ten years. 

That’s a long time when you think about how much may have 

changed in your life since you moved in. And typically, those changes 

have a direct impact on what you need in a home. 

Whether it’s more (or less) space, different features, or a 

location closer to your work or loved ones, your current house 

may no longer check all the boxes of what feels like home to you. 

If that’s the case, it could be time to work with a real estate agent to find a better fit.
Bottom Line

If you’re thinking about selling your house, there’s probably a 

good reason for it. Let’s connect so you can make a move that’ll 

help you accomplish your goals this year.