submitted by Kathleen Layton, Berkshire Hathaway Home Services/Fox Roach Realtors Newtown Office
Of course not! That’s because there’s not a NATIONAL weather forecast.
Just like there’s not a NATIONAL real estate forecast, or market, either. So, stop listening to pundits in the news media who keep talking about the real estate market as if there is one. Real estate, like the weather, is local. And while the Bucks County real estate market has tempered from the post-Covid nuttiness, it is hardly the gloom and doom being bandied about throughout the 24-hour news cycle.
Those making comparisons to the real estate crash 15 years ago, as some media types are doing, are being downright irresponsible. The unemployment, foreclosure and delinquency rates were much higher, inventory levels were high, sub-prime mortgages were prevalent and there were eight million job cuts. This “evening out” we’re experiencing is NOTHING like what we experienced back then.
What are we experiencing now? Higher interest rates have knocked some buyers out of the marketplace for sure. Inventory levels have risen somewhat, days-on-market have increased a bit and those wild bidding wars? Well, while they are still happening, it’s more sporadic than it is commonplace.
Here’s what’s NOT happening…prices aren’t tanking.
So what do you need to know if you were planning on selling this year? Well, rates have come down since their peak in the low 7’s and are forecasted to continue to decline. Will they come back into the 3’s – no way. Those were artificially low Covid rates. But most “experts” are thinking they’ll be back in the 5’s later this year.
And despite rising inventory levels, demand still outpaces supply. We’re starting to see an uptick in Buyer activity, but they are definitely more discerning and “anything goes” no longer applies to condition.
The bottom line? Sellers still have a really good chance selling at historically high prices. The key is working with an experienced agent that understands the nuances of this changing market. Call Kathleen at 215-801-2019!
PHOTO CAP: Kathleen Layton