06/06/2022
HAPPY MARKET UPDATE MONDAY!๐ ๐ก
Did you know that Google searched and Mainstream Media coverage of the Real Estate market can be as much as 3 months behind? ๐คจ When it comes to investing or selling what is most people's largest financial asset in life, we all deserve to be informed of what's happening NOW! As the data below shows, the market has changed drastically in the last few WEEKS compared to the last 3 MONTHS! Altos research has data as of TODAY. When you're informed with the most up-to-date information you're empowered to make the right decisions at the right time.
According to the data below, the time for most people who are considering making a real estate transaction in Sacramento, CA is NOW.
Here's Why:
๐ Inventory has climbed 30% since May 1st
๐ Price Reductions have hit 30% of the active listings
๐ The Federal Government plans to raise Interest Rates by 3% by the end of 2023
So why do BOTH buyers and sellers need to act now?:
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A Raise in Inventory means more opportunities for buyers to get into a property WITHOUT the bidding frenzy from the pandemic. Sellers this means the longer you wait the more time, effort, and money will be needed to put into your property to stand out compared to the other options!
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Price Reductions means an immediate discount for buyers of course, but it also points to the dying of the pandemic bidding frenzy. Prices are SLIGHTLY deflating which means there is more breathing room for closing costs and potential negotiations. Sellers, with a continuing trend like this, the point is the same as before. More time effort and money needs to be put into your property to be up to par!
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A raise in mortgage rates is clearly not great for buyers, which is exactly why buying a house NOW is the better option than buying LATER. Regardless of a slight cost deflation, a 3% raise in interest rates makes month to month payments much more expensive compared to the slight savings from price reductions. Sellers, the longer we wait while these interest rates climb, the harder and harder it is for buyers to afford your listing. This is still a seller's market but it's slowly shifting to a neutral market.
Feel free to share or contact me with any questions! I'm here to inform and empower. ๐ช๐ป๐ก
Have a great Monday! ๐