The real estate market is extremely hot today for two main reasons:
1. Interest rates. The power of low interest rates is having a big impact on different segments of our economy, especially real estate. When the rates go down, mortgages are less expensive, which means buyers can afford more.
2. Historically low inventory. In a previous blog, I reported that home inventory was as low as it has ever been in the history of our MLS.
These two major components are coming together to fuel price growth. There are fewer homes, more people who can afford them with lower rates, and homes are getting snatched up very quickly. Sellers who price their homes correctly in this market will do very well.
If you’re a buyer in this market, you need to be very strategic. You don’t want to make an offer under the list price, generally speaking. You need to be at or above list price for your offer to win.
If you have any questions for me about the market or real estate in general, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.