Real Estate Market Trends to Watch This Summer
June 21, 2023
Trends From Our Expert Movers
After a bevy of record-high real estate prices the past few years, has the tide finally turned for homebuyers?
It’s always difficult to predict the exact nature of the real estate market, but Forbes recently shared some key projections and market trends to watch for in summer 2023.
One key finding is that while mortgage rates increased 15 points in April, pending and existing home sales both decreased in March. The cause is largely related to ongoing inventory issues, which presents a challenge for many buyers, and especially first-time homebuyers. One factor with the low volume of homes for sale is simply how many buyers took advantage of historically low mortgage rates in recent years — and those folks plan to stay a while.
The recent Federal Reserve rate hikes will affect both long-term home loans and those with a variable interest rate mortgage. As a result, the housing market “remains a mixed bag.”
“On the one hand,” writes Robin Rothstein, “home shoppers received good news, with the median existing-home sales price declining 0.9% to $375,700 in March compared to a year ago, according to the National Association of Realtors (NAR). This is the second consecutive month of year-over-year home price declines after a 131-month streak of record increases.”
However, not everything is positive from that report. “On the other hand, total existing-home sales dipped 2.4% from February to March and are down 22% from a year ago, per NAR,” Rothstein continued.
What does this mean for average consumers?
According to some economists, the real estate market is in for a bumpy ride and a slow recovery. But they do not anticipate a crash that mimics the 2008 financial crisis. (The reason being that mortgage laws have changed so not as many people can buy a house with so little equity in their homes.) However, attempting to predict what might happen this year is not the best homebuying strategy.
So now instead of waiting for much lower home prices, experts suggest taking a look at your needs and overall budget, then determining if the timing is right for you to make a move. Just remain flexible so you don’t end up with buyers’ remorse.
If you’re considering a future move locally, across the country, or even overseas, Beltmann offers office and residential relocation and storage services for any size house or budget, with multiple locations across the USA. Simply call us at (866) 252-2383, or visit our website for your free estimate today.
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