What is the cost of waiting?

May. 25. 2022

The cost of waiting.

As you may have heard, the market is shifting a tad. This isn’t “good”news, or “bad news” it is simply a shift to take into consideration. We are shifting from a HOT seller’s market to a seller’s market.

Buyers: Do your offers still have to be competitive? Yes.

Sellers: Will you likely still see multiple offers if priced correctly? Yes.

As interest rates rise (let me remind you we have been at a historical low for years and in the 80s people were buying homes at 16% interest) your buying power lessens. So what you were pre-approved for at 3.5% a year ago has now shifted as rates go above 5%. Prices have also had a dramatic jump in the last two years. As always, we recommend getting approved with a local lender first and if you are considering buying–you may want to do so sooner than later, because as you save, the cost of the home or rate is also increasing. As I have stated previously my favorite time to purchase is October through February but you may want to start shopping now as rates will continuously be adjusted and our robust market will still remain strong, but not as strong as we have seen in the past.