It's still a bizarre Real Estate market

By
Real Estate Agent with Atlanta Communities 303302

I was just thinking of a past movie title, It's a mad, mad, mad world! While the movie was funny, the current real estate market is not. I have never seen so many obstacles in the way of someone buying a home.

Low housing inventory levels have been with us for a while now. Well before the pandemic hit. There just have not been enough homes available on the market to satisfy the buyers looking to purchase a home. This imbalance helps push home prices up. 

Then we get rates rising. Sure, they are not at the levels we saw back in the 80's where rates when I purchased a home were in the 13.5% range, but current rates have begun to inch up. Every time the rates tick up another quarter percent some buyers lose the financial ability to get a loan.

Now we have inflation to deal with. As everything rises in price families who may have been looking for a home may no longer qualify for loans because of their increased monthly expenses.

At least the sellers are making out, right? Not so fast. Most sellers need to purchase another home after the sale of their current home and are finding how difficult it is to be a buyer in this market.

What's a person to do? Consult with a real estate professional. We have armed ourselves over the past several years with many new weapons to fight this war such as appraisal gap clauses, escalation clauses, and more. If you are looking for real estate help now is the time to seek out a trained professional who can improve your odds of success in the crazy market.

Posted by

Peter den Boer, Associate Broker, Realtor

Atlanta Communities Real estate Brokerage

 

Ph. 770.713.1545

www.denboerhomes.com

 

I write about daily life as a Realtor in the Towne Lake Community in Woodstock Georgia.

Comments (5)

Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Great post Peter den Boer I agree now more than ever, you need a professional REALTOR* consultant and sales expert. I wouldn't call our San Diego market bizarre though, because it's been more or less like this since the recovery from the crash in Q4 2011. Since 2012, if you think about it,  there's always been low inventory here, the stock market rollercoaster is a weekly ride, we've always had a war raging and always some other world event trying to distract us, so today it's inflation finally showing up late to the cycle due to COVID. But, as pros, we know it's just another day at the office. 😎

Mar 11, 2022 06:34 AM
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Peter,

It has been a bizarre time. and I agree with you about having a professional navigating these turbulent waters. A

Mar 11, 2022 06:39 AM
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Peter - people who are considering a move need to be connected with the right local real estate representation.  It doesn't matter if the times are reportedly bizarre or not-so-bizarre.  It's never easy.  It's best not to be unrepresented.  It never makes sense.  

Mar 11, 2022 07:04 AM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Peter - it is certainly not a boon for anyone unless they are selling to cash out.

Mar 11, 2022 08:44 AM
Kathy Streib
Cypress, TX
Retired Home Stager/Redesign

Well done Peter. The average buyer/seller sees a small portion of what the market is doing. A professional agent is familiar with the real estate cycle as well as what is going on in their region. 

Mar 12, 2022 10:39 AM