Limited Inventory & Rates in the 8's Make the Prospect of Buying a Home Scary...But ItDoesn’t Have to Be
Trick or treat? That's up to you but the housing market sure is spooky out there! Limited inventory and rates in the eights make the prospect of home-buying super scary. Just like I can't tell you what the best candy is (it’s Kit Kat it’s always Kit Kat) I can't tell you if buying a house now is what you should do. But I will share from experience not only will neglecting to brush your teeth after eating candy likely give you cavities, based on historical trends now may be an opportune time to buy. Why? This following chart shows an annual cycle that has prevailed time and again despite potential disruptors like Covid, election years or even rising interest rates. Here’s what tends to happen:
January through March – new buyers enter the market, competing for limited inventory and driving prices up.
April through June – brings more listings and prices ease a bit
Sept through October - has a bump in listings, with median prices remaining mostly flat
November through December - reveals the lowest median prices but also the fewest homes for sale. The yellow circles reflect the sweet spot with more options than Winter and lower prices than Spring.
So, I get that this time of year is cold, wet and dark – not the best conditions to be looking for a home; but history, as it often does, WILL repeat itself. Those who want to wait for mortgage rates to go down may be waiting for a long time and in the meanwhile, prices will continue to rise.
In fact, in our area on the East Side, prices are up 6% year over year and in Seattle they are up 3%. Keep in mind, when rates to go down, all the waiting buyers will be back at it, increasing your competition. So, while today’s environment may feel like a horror movie, don’t be scared! Reach out today so I can help you find a sweet deal!
Call/text 425-495-0926 - or email me anytime! ginam@windermere.com.
