Economists predict the 2023 market will be slower than in previous years, but we’re not expecting a crash. The number of people requesting home tours has exceeded our expectations so far in January, so there may be more buyers out there than you think. In order to attract their offers, it’s important to focus on preparing your home and pricing it well. I’ll help you create a strategy for success to get your home sold as quickly as possible.
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We expect significantly fewer homes to sell in the first half of the year compared to 2021 and 2022, but we predict a slow recovery with more home sales in the second half as mortgage rates tick down and more buyers enter the market. Let’s talk about the ideal timing for selling your home and the updates you can make in the meantime to help invite offers.
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Similarly, we expect home prices to decline moderately—around 4% nationally compared to one year ago—and start to recover by the end of the year. If you’ve owned your home for several years, you’ll likely still have more equity than you did pre-pandemic to use toward your next purchase—and you may be able to find that next home for a better price than you would have last year.
What buyers need to know:
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Economists expect mortgage rates to decrease slightly this year, settling around 5.8%, bringing some relief to your monthly budget. I can get you in touch with my Bay Equity mortgage advisor to discuss your current affordability picture and learn more about your personal financing options this year.
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Prices will likely decrease by about 4% nationally compared to one year ago, but so will the number of new homes hitting the market. If you find a home you love, it’s a good idea to put in an offer rather than waiting to see what else is out there. I can help you negotiate the right terms or ask for concessions that will help your bottom line.
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We expect investors and other corporate buyers to purchase fewer homes this year, bottoming out in the spring before eventually rebounding. If you want to avoid competing with this kind of buyer, it may be a good idea to start your search earlier in the year when they are less active.
If you’d like to hear more about these predictions and what they mean for your home-buying or selling journey, please reach out! I’m happy to give you a call, schedule a video chat, or meet up with you in person.
