Welcome to November!  Can you believe we are here already??  I hope everyone had a great Halloween!

Buyer demand remains stifled by the mortgage interest rates near 8%.  I mentioned the lack of competition right meow and my argument for buying in this environment if it's something a buyer(s) has already planned out and budgeted.  My reasoning is outlined below.  The median home price in Sacramento County is $550,000.  I should have used that number for my scenario.  From the previous email, one can increase the total payment by $800 for a purchase at 550k with 7.99% interest (4,589), and decrease the monthly payment by $100 if one waited for 6% interest with a contract price of 625k due to the rise in competition (4,463).  The refinanced monthly payment of the first scenario would be $3,728.  Let me know if there's any questions.

Inventory is slowly creeping up and prices are continuing to adjust downward as homes sit longer due to seasonality.  Major holidays are on the horizon, so the seasonal affect will be hitting full force as demand dries up further.  It's also possible we could see inventory shrink again as sellers close up shop and wait for Spring.  We'll see how this plays out week by week.  A big week of economic news this whole week, so we'll also be able to see how the interest rate and bond market react.