Buyers need houses!
Buyer Traffic Is Still Stronger than the Norm Are you putting off selling your house because you’re worried no one’s buying because of where mortgage rates are? If so, know this: the latest data shows plenty of buyers are still out there, and they’re purchasing homes today. Here’s the data to prove it. The ShowingTime Showing Index is a measure of buyers touring homes. The graph below uses the latest numbers available and compares them to the same month in the last normal years to show just how active today’s buyers still are: As you can see, when June 2023 numbers are stacked alongside what’s typical for the housing market at this time of year, it's clear buyers are still active. And, they’re actually a lot more active than the norm. If you’re wondering how this could possibly be true, it’s because buyers are getting used to higher mortgage rates and accepting them as the new reality. As Danielle Hale, Chief Economist, Realtor.com, explains: “Interest rate hikes continue to further cut into buyers' purchasing power, although they appear to have adapted to the higher mortgage rate environment . . .” It’s simple. Buyers will always need to buy, and those who can afford to move at today’s rates are going to do so. The Key Takeaway for You While it’s true things have slowed down from the frenzy of the last couple of years, it doesn’t mean today’s market is at a standstill. The reality is: buyer traffic is still strong today. Even with today’s mortgage rates, plenty of buyers are still making their moves. So why delay your own move when there’s clearly a market for your house? Bottom Line Don’t put off your plans because you’re worried no one will buy your home. The opposite is true, and more buyers are more active than the norm. Let’s connect to get your house ready to sell, so it makes the best first impression possible on those eager buyers.
Home Price Forecasts 2023
Expert Home Price Forecasts Revised Up for 2023 Toward the end of last year, there were a number of headlines saying home prices were going to fall substantially in 2023. That led to a lot of fear and questions about whether there was going to be a repeat of the housing crash that happened back in 2008. But the headlines got it wrong. While there was a slight home price correction after the sky-high price appreciation during the ‘unicorn’ years, nationally, home prices didn’t come crashing down. If anything, priceswere a lot more resilient than many people expected. Let's take a look at some of the expert forecasts from late last year stacked against their most recent forecasts to show that even the experts recognize they were overly pessimistic. Expert Home Price Forecasts: Then and Now This visual shows the 2023 home price forecasts from seven organizations. It provides the original 2023 forecasts (released in late 2022) for what would happen to home prices by the end of this year and their most recently revised 2023 forecasts (see chart below): As the red in the middle column shows, in all instances, their original forecast called for home prices to fall. But, if you look at the right column, you’ll see all experts have updated their projections for the year-end to show they expect prices to either be flat or have positive growth. That’s a significant change from the original negative numbers. There are a number of reasons why home prices are so resilient to falling. As Odeta Kushi, Deputy Chief Economist at First American, says: “One thing is for sure, having long-term, fixed-rate debt in the U.S. protects homeowners from payment shock, acts as an inflation hedge - your primary household expense doesn't change when inflation rises - and is a reason why home prices in the U.S. are downside sticky.” A Look Forward To Get Ahead of the Next Headlines For home prices, you’re going to continue to see misleading media coverage in the months ahead. That’s because there’s seasonality to home price appreciation and they’re going to misunderstand that. Here’s what you need to know to get ahead of the next round of negative headlines. As activity in the housing market slows at the end of this year (as it typically does each year), home price growth will slow too. But, this doesn’t mean prices are falling – it’s just that they’re not increasing as quickly as they were when the market was in the peak homebuying season. Basically, deceleration of appreciation is not the same thing as home prices depreciating. Bottom Line The headlines have an impact, even if they’re not true. While the media said home prices would fall significantly in their coverage at the end of last year, that didn’t happen. Let’s connect so you have a trusted resource to help you separate fact from fiction with reliable data.
Investment Properties in Central Iowa
Central Iowa has been a hot spot for real estate investors for many years now. The stable real estate market and high ROI make it an attractive place for buyers to invest in properties. With high cap rates and easy management, it is no wonder that many investors are looking to invest in Central Iowa.If you are looking to invest in Central Iowa real estate, there are a few things you should know. Firstly, the real estate market in Central Iowa is stable, which means that there are not many fluctuations in property prices. This makes it easier for investors to predict the value of their investment over time.Secondly, Central Iowa has a high ROI, which means that investors can expect to see a return on their investment relatively quickly. This is because the rental market in Central Iowa is strong, and there is a high demand for rental properties.Thirdly, Central Iowa has a high cap rate, which means that investors can expect to earn a high return on their investment. This is because the cost of owning and managing a property in Central Iowa is relatively low compared to other areas.Finally, properties in Central Iowa are easy to manage. This is because the rental market is well-established, and there are many property management companies that can help investors manage their properties.So, how do you get started investing in Central Iowa real estate? The first step is to research the market and find properties that meet your investment criteria. This may include factors such as location, size, and price. Once you have identified some potential properties, it is important to conduct a thorough inspection to ensure that the property is in good condition.Next, you will need to secure financing for your investment. This may involve working with a bank or other lender to obtain a mortgage or loan. It is important to shop around and compare rates to ensure that you are getting the best deal possible.Once you have secured financing, it is important to work with a real estate agent or property management company to help you manage your investment. This may involve finding tenants, collecting rent, and handling maintenance and repairs.In conclusion, Central Iowa is a great place to invest in real estate. With a stable market, high ROI, high cap rate, and easy management, investors can expect to see a strong return on their investment. If you are considering investing in Central Iowa real estate, be sure to do your research and work with experienced professionals to help you make the most of your investment.
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