The economic data from last week demonstrates that the U.S. has consistently out-performed the more...
Source: Redfin.com
After years of higher and higher home prices, median house prices declined in December 2022 to an average of $403,000. That's a decline of 5.3% from December of 2021, and a continuing trend since the middle of the year.
The sales cycle for homes expanded as well compared to last year. In December of 2021 homes spent 12 days on the market, compared to just over a month in the December of 2022. The same time period in 2021 saw 262 homes sold compared to the 146 in December 2022.
While rising interest rates account for this slowdown, this is good news for buyers stung by high prices over the last few years.
High interest rates will account for a higher mortgage payment, however, if interest rates drop in the future (they've already fallen from November's high of just over 7%) buyers can refinance for a lower rate down the road.
Due to the higher interest rate, buyers now have increased inventory to choose from, and thus, more time to ruminate on their decision, much to the frustrations of sellers who may have had expectations of a quick turnaround.
Regardless, now remains a good time to revive or even mover forward on your decision to continue your poreerty search .
Ed Justen -DRE: 02221512 - Affiliated with Keller Williams. All advice and information given on this blog is sourced from publicly available websites and common knowledge. Got questions? Click here to book 30-minute meeting with me.