Summer Market Predictions
Read this if you're thinking about buying or selling a home this summer. ☀️
The summer housing market is heating up, so whether you’re buying or selling, It's time to prepare now for what lies ahead.
Here's a glimpse of what to expect if you're diving in:
- A more active selling season than spring, with sales likely ticking up by 5% compared to the first 3 months of the year.
- While sales may increase, inventory will likely stay limited as current homeowners sit tight on their low interest rates if they don’t have to move.
- That's not all... Some analysts predict that rates will level off in the 6% range as inflation eases, slightly boosting affordability for buyers. Pick what is more important to you: higher price, lower rate OR lower price, higher rate. If rates go down, demand will just increase and so will prices. If rates go up, demand might slow along with prices. Inventory will continue to remain in a shortage.
Here's what that means for buyers:
- BE PREPARED! Have your ducks in a row before you start seriously looking. Have your finances in order and a plan if you have a house to sell. If you find a home you love, act quickly and make the strongest offer you can. Consider a large down payment or purchase with cash if possible. Or use an investment account as proof of funds for a “cash with mortgage” offer. You still obtain financing but waive your mortgage contingency, which give the seller added security that they are headed to the closing table.
- It’s next to impossible to win in a multiple offer situation with a home sale contingency. Ask me about my timeline to achieve both at the same time so you can put a strong offer on the house that you really want. 2/3 of homeowners in America are equity-rich. Learn how to use that to your advantage when buying and selling in this competitive environment.
- One more tip: While you can’t control prices, you can improve your chances of getting the best rate by improving your credit score now. Three quick ways? Pay your credit card balances down, ask for higher credit limits, and review your credit report for errors.
And what it means for sellers:
- You will likely receive multiple offers IF you price your home competitively. Buyers know when a house is overpriced and will pass on writing an offer if it is priced incorrectly. Buyers know that if a house is sitting stagnant for more than 30 days, there is either something wrong with it or it is overpriced. Don’t let buyers get either thought in their head when considering your house.
- That said, you’ll definitely want to work with an experienced agent to price strategically, manage those multiple offers, and maximize your sale price. An experienced agent will also help with getting through the appraisal process and making sure the transaction goes as smoothly as possible.
Find this post helpful? Follow for more updates and hit the share button to help spread the word about the latest trends this summer.⛱️
Sources: 9 Ways to Build and Improve Your Credit Fast - NerdWallet