Shifting Market Conditions for Sellers
Real Estate Economists are predicting a slow-down or even mild recession in the real estate market. Is this this shift buyers have been waiting for? What does it mean if you’re ready to sell your home?
In their latest forecast, released at the end of April, Fannie Mae economists predicted a downgrade in the real estate market. Here’s what we’re seeing and reading in the real estate market, and what it means for sellers looking to take advantage of current conditions.
- Fannie Mae economists are predicting a “mild recession.”
- Home sales are expected to drop 7.4% this year and 9.7% in 2023.
- Fannie Mae experts do not predict a recession as harsh as the Great Recession of 2007-09.
- The “lock-in” effect of rising mortgage rates and declining affordability may affect house sellers’ desire to market their properties for sale, as well as new buildings.
- New construction costs keep going up due to materials and labor.
- Fannie Mae economists predict a drop in home appreciation back to single digits.
What does this mean for sellers?
No matter what type of market conditions we’re in, we always advise our sellers that your LIST PRICE is part of the marketing mix — think of it as an advertising price to attract the most buyer demand.
In shifting market conditions, where buyer demand may lessen slightly from interest rates and price appreciation, be careful getting too greedy on list price.
Interest rates rose at one of the fastest paces ever seen, and sellers should be prepared to adjust quickly with the market using objective data analysis from our team of agents.
At Two Door Group, how do we not only capture – but create – buyer demand, so you get your best terms possible in your sale? In addition to diligent property preparation and a robust pre-marketing campaign, we practice what we call “surgical pricing precision” to strategically position your home to generate buyer offers.
For a personal consultation, reach out to us today to discuss the right strategy or your home, in your neighborhood, in today’s market conditions!