ARTICLE
The Housing market has gone through many changes in the last few years-Covid, changes caused by; inflation, sky-rocketing house prices and high interest rates. Real estate sales were a more significant part of the economy, employing people, services, and jobs. The economy is steady but fewer people can afford a house now. Lately, the job market has been hiring hospitality people, and you have seen the packed restaurants. They are needed. Try to get a serviceman over to fix something and there is a wait. The US housing market over the next six months is expected to experience modest growth, with shifts favoring buyers. However, elevated mortgage rates and affordability challenges persist. The market has slowed so much that home prices are beginning to reflect the weak demand from potential buyers, spurring more competition from sellers. In May, Realtor.com said that 1 in 5 homes had a price cut, more common in the South and the West as compared to the Northeast. At any given time, there are usually 8 to 10 homes for sale in Bellaggio. There were 18 closings during the first half of the year, with prices ranging from $399,000 to $670,000. Strangely enough, most did not have a pool but did have a lake view. Historically, when sellers outnumber buyers, prices drop, and it becomes a “Buyer’s Market”. This is where we are now. Home prices are getting more realistic as compared to the inflated prices sellers were seeking previously. Buyers may find some relief if wage growth continues, or if there are policy changes that enhance disposable income. There is expected to be a decrease in starts and sales by builders. Hard to believe, as every vacant parcel from Lake Worth to Delray Beach is being built on. Variances are being granted and now residential developments are going up on both sides of Rte. 441. Hard to find a detached single-family home, or new construction for under 1 million dollars in the area. Builder’ incentives will be high as indicated by closing cost credits and the mortgage programs being offered by builders. Mortgage rates are anticipated to remain elevated, averaging in the mid-6%’s, which is counterbalanced by the cash purchases made by the retirees. The overall outlook suggests sustained growth in the coming years in the Sunbelt. Regional variations will play a significant role, with some areas transitioning towards a buyer-friendly environment. Karen R. Lawrence can be reached at (800) 769-1773
The Housing market has gone through many changes in the last few years-Covid, changes caused by; inflation, sky-rocketing house prices and high interest rates. Real estate sales were a more significant part of the economy, employing people, services, and jobs. The economy is steady but fewer people can afford a house now. Lately, the job market has been hiring hospitality people, and you have seen the packed restaurants. They are needed. Try to get a serviceman over to fix something and there is a wait.
The US housing market over the next six months is expected to experience modest growth, with shifts favoring buyers. However, elevated mortgage rates and affordability challenges persist. The market has slowed so much that home prices are beginning to reflect the weak demand from potential buyers, spurring more competition from sellers. In May, Realtor.com said that 1 in 5 homes had a price cut, more common in the South and the West as compared to the Northeast.
At any given time, there are usually 8 to 10 homes for sale in Bellaggio. There were 18 closings during the first half of the year, with prices ranging from $399,000 to $670,000. Strangely enough, most did not have a pool but did have a lake view. Historically, when sellers outnumber buyers, prices drop, and it becomes a “Buyer’s Market”. This is where we are now. Home prices are getting more realistic as compared to the inflated prices sellers were seeking previously. Buyers may find some relief if wage growth continues, or if there are policy changes that enhance disposable income.
There is expected to be a decrease in starts and sales by builders. Hard to believe, as every vacant parcel from Lake Worth to Delray Beach is being built on. Variances are being granted and now residential developments are going up on both sides of Rte. 441. Hard to find a detached single-family home, or new construction for under 1 million dollars in the area. Builder’ incentives will be high as indicated by closing cost credits and the mortgage programs being offered by builders. Mortgage rates are anticipated to remain elevated, averaging in the mid-6%’s, which is counterbalanced by the cash purchases made by the retirees.
The overall outlook suggests sustained growth in the coming years in the Sunbelt. Regional variations will play a significant role, with some areas transitioning towards a buyer-friendly environment.
Karen R. Lawrence can be reached at (800) 769-1773