Just watched an informative webinar, "The Great Moderation: 2023 Housing Forecast" hosted by First American Office of Economic Research.. Summed up the RE market pretty well! These are the points I took away....There is a lot of uncertainty in the market. Supply is getting higher, buyer demand is getting lower. Interest rates are rising...we do not know where the rates will go. 2021- 2022 was the height of the market. Prices were up about 30% since March 2020 ( pandemic). August 2022 , prices were up 15% which shows a drop in prices although the market is still up!!! Takeaway...you only get 1 first impression when listing your home, DO NOT OVERPRICE IT. We do not have a crystal ball and know where the market is heading. Prices are still higher than a few years ago although buyers are now looking for a good deal, much more inventory to choose from and the homes are not selling within seconds...,buyers are not paying way over asking in bidding wars. There is more opportunity in the market as we see it is shifting....New home sales are going to slow as they will not be building as many new homes because of the uncertainty in interest rates and shortage of labor. Housing is something we live in for a long time so if you need a place to live, you will still buy. We can't time the market. It's like buying stocks in the stock market. If you are in it for the long haul, you will probably be a winner! If you are looking to sell at a higher price , 90 and its trading at 60, a buyer will not pay your price, same with the housing market. A home is worth what a BUYER is willing to pay for it in today's market, not what you want in your pocket! The REconomy is an economic podcast you can follow examining the forces that influence real estate, housing and affordability. ***Let's add positives and negatives to this forecast. The positive news is that even with that decrease in home prices from today, that’s @ 30% above where they were in March of 2020.” If you sold today, you'd still be making a profit
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