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The market is balanced and still stuck. As of now, NAR expects total US home sales to breach four million, but just barely. The last time that amount of homes moved nationally was 2008. We are working from really low levels, and until a shift in balance happens we will remain here.
My personal bias is that we are at or very close to an interest rate top. There is a lot of pent up demand sitting on the sideline waiting for one side of the pendulum to outweigh the other. Will it be listings flooding the market? Will it be mortgage rates turning lower? My opinion is the latter. We saw what happened at the beginning of this year when rates touched 6%. With that said, I don't hate the idea of buying a house right now even at 8% (assuming the numbers make sense for your budget).
1. There's some better deals out there due to seasonality and homes that have extended DOM and need to come down in price accordingly.
2. When rates eventually do turn lower, buyers will come off the sideline. This will send prices higher again due extremely low inventory and now to increased competition on the limited homes.
3. Let the numbers do the talking.
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