Well, while the supply of homes available for sale has increased this year compared to last, we’re still nowhere near what’s considered a balanced market.
In Bucks County, year-to-date inventory is up 39%, but year-over-year the level is down 36%.
YTD sales through September are up 23%, which reflects buyer activity mid-August to mid-September. Properties currently under contract are up about 15%, likely due to higher inventory levels. The average sale price YTD is up 16%.
So what does it all mean?
If you’re considering selling your home, prices are still elevated and demand is still there, although the nuttiness of the past 2-3 years has subsided. How you price your home is critical – it’s not your neighbor’s market who sold last year anymore. Inspections with repair requests are back in vogue.
If you’re considering buying a home, waiting is probably not the answer, as any potential dip in prices will be more than offset by rising interest rates. Notice I said “dip” not “dive”, as any reversal in prices is not expected to be significant.
Consider an Adjustable-Rate Mortgage (ARM), as those-in-the-know are expecting a rise in rates for the short term, but a decrease in the next 18-24 months.
Keep in mind that the market of the past 3 years was extraordinary – and unsustainable. Any downturn we are currently experiencing is a return to normalcy. It is not a market for amateurs or the inexperienced.
Now more than ever, the agent you choose to work with matters. Choose wisely! Contact me anytime for a private consultation at 215-813-6655 or Lynne@LynneKelleher.com.