There are a few reasons to be optimistic about the market heading into December, including a welcome decline in mortgage rates. Here’s what you need to know to navigate the market this month:
What sellers need to know
- Potential buyers have dipped their toes back into the market after mortgage rates dropped to around 6.3%, with more people applying for mortgages and requesting home tours. If you’re thinking about selling, my team can help you take advantage of this uptick in demand by getting your home on the market quickly.
- Homes are sitting on the market for longer, and we’re starting to see a buildup of inventory. When the market slows down, buyers pay more attention to a home’s appearance and any deferred maintenance that needs to be addressed. Let’s talk about what prep work will help your home sell faster and for a good price.
- Although rates have come down a bit, buyers are still very price-conscious. It’s important to price your home well in order to invite offers and be open to negotiations once those offers are on the table. I can help you create a smart pricing strategy and talk you through the different concessions—like helping buy down the buyer’s mortgage rate—that you may want to consider.
What buyers need to know:
- Mortgage rates have decreased faster than expected, coming down almost a full percentage point from the November peaks, and prices are continuing to fall. If you’re planning to buy in the next few months, it may be a good idea to lock in your rate now. I can connect you with a Bay Equity mortgage advisor to help you explore your options and create a strategy to maximize your monthly budget.
- Certain types of sellers, including investors and homebuilders, are even more eager to sell their properties right now, and many are providing incentives to encourage offers. I can help you identify which homes may offer extra room for negotiation or additional concessions to help your bottom line.
Here’s what experts are saying about the market right now:
“There have been a handful of pieces of relatively good news for the housing market lately, but we’re far from out of the woods. Key indicators of homebuying demand will likely be teetering on a knife’s edge with every data release that comes out related to the Fed’s path to eventually bringing rates down. We’re likely past peak inflation, past peak mortgage rates, and past the lowest point of mortgage purchase applications. But there’s further cooling ahead for the housing market, as sales and prices have further to fall before buyers and sellers become comfortable with homebuying costs again.” – Deputy Chief Economist Taylor Marr
If you’d like to hear more about how the market has shifted and talk about what it means for you, please reach out—I’m happy to meet you for coffee, give you a call, or schedule a video chat. I hope you have a happy holiday season!
