There's some heat! We hit triple digits last week and this past weekend. Did you miss it? I did not. The real estate market did not heat up, however. Reports across the local market are low volume open houses. This is interesting as rates came in lower last week, and new listings seem to be slowing down at the same time, as the market update numbers below show. Nevertheless, as we have discussed in prior weeks and months, supply has been steadily growing, providing active buyers with many more options then prior years. This time compared to last year I can see a 32% increase in inventory. This means more options, and more reasons to be picky when shopping. The DOM is increasing every month as well, we are now at an average of 32 days. We are working our way back to a more normal market, and sellers may be feeling the crunch. I have two active listings going right now, my seller of 4518 Lippi Pkwy agreed to a price improvement of $40,000! This is something we agreed to before signing the listing agreement. We would test the market at one price for three weeks, and then make an aggressive price adjustment if needed. I still hesitate on any buyers getting too cocky or picky. I am still very much in the camp of interest rates coming down at some point in the near future. It is very much unknown exactly how many buyers are creeping on the sideline and at one point they show themselves. What number do interest rates need to hit? Early last year we saw quite a bit of movement when rates touched 6.4% on the 30yr. Is under 6.5% the trigger? Is it 6.25%? Does it need to get under 6%? What do you think? Let me know by replying directly to this email. |
