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More observations by a Beverly Hills Realtor: Endre Barath,Jr...

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Real Estate Agent with Berkshire Hathaway HomeServices California Properties 01238708

More observations by a Beverly Hills Realtor: Endre Barath, Jr...

www.endrebarath.com

 

As we rapidly approach the middle of the month, we also approach the second half of the year - hard as this is to believe.  This year has certainly been a strange year when it comes to Real Estate Activity.  Inventory, or the lack thereof, has translated to fewer sales while housing demand has been higher than what the talking heads had been expecting in spite of their misleading headlines.  The reality is that there are fewer buyers thanks to higher interest rates.

www.endrebarath.com

 

My observation is that the powers to be have miscalculated by tightening the money supply for potential buyers; while they thought it would bring home prices down, in reality when 75% of homeowners have mortgage interest rates hovering between 3 and 4 percent, they have no incentive to sell to become "move up" buyers. Those who need to sell for whatever reason are the only ones putting their homes on the market. Nevertheless, this does not match the demand.

www.endrebarath.com

 

The first-time serious buyers are watching the inventory.  Gone are the days of two and three years ago when you listed a home on the market and it would sell no matter how it was priced. Today ambitiously priced homes linger on the market while correctly priced homes virtually sell instantaneously.  Buyers that are going to take on interest rates between 5.5 to 7 percent are focused on the well-priced homes and make their offers on them. Good agents provide their clients with property history as well as comparable lists to help the buyers make the right decision. Sellers also need a seasoned and knowledgeable agent to guide them in listing their property in the best light to sell quickly for top dollar.

 

Whether you are a buyer or a seller or have any questions or concerns about real estate, reach out to me directly.

 

www.endrebarath.com

 

Wishing you a safe and healthy life and I look forward to your comments. If you are looking for a knowledgeable, focused and goal-oriented Realtor in the Beverly Hills area who will help you achieve your Real Estate goals, please reach out to me directly! If you are looking for a pet friendly Beverly Hills Realtor who can handle and sell the most difficult properties that no one else could, please reach out to me directly!! If you are considering buying or selling a home, a luxury home, luxury investment real estate, luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu, feel free to contact me at 310.486.1002 ( m) homes@endrebarath.com or visit one of my websites at https://www.endrebarath.com I contribute a portion of my commission to local animal rescue organizations. Endre Barath, Jr. Realtor at Berkshire Hathaway HomeServices California Properties DRE#01238708

Wayne Martin
Wayne M Martin - Oswego, IL
Real Estate Broker - Retired

Good morning Endre. In the past owners were burdened by high mortgage payments. These days they are the lucky victims of low interest rates they cannot duplicate. So they are trapped in their homes. Inventory light. Demand high. And people are wondering why prices continue to rise! Enjoy your day.

Jun 09, 2023 04:41 AM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Good morning, Endre... several years ago I was explaining to people that home prices were increasing due to supply and demand (i.e., more demand than supply). I'm doing that again... we may have fewer buyers, but we also have less inventory. Home prices are holding their own and then some.

Jun 09, 2023 04:57 AM
Kat Palmiotti
eXp Commercial, Referral Divison - Kalispell, MT
Helping your Montana dreams take root

We still have sellers who refuse to believe the market has changed from the last few years. I just met with sellers last week who wanted to price their price 40% over what I told them the market research says it's worth. They found an agent who will price it higher. We'll see how that goes.

Jun 09, 2023 05:06 AM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

Endre, Despite fewer buyers, inventory remains scarce, and home prices are holding strong, if not increasing further.

Jun 09, 2023 07:39 AM
George Souto
George Souto NMLS #65149 - Middletown, CT
Your Connecticut Mortgage Expert

Endre we do not have a lack of Buyers around here.  Our issue is  a lack of inventory.

Jun 09, 2023 07:58 AM
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello Endre and thank you for the great information in your blog to pass on to us here in the Rain.  Make it a great day!

Jun 09, 2023 08:19 AM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Good morning chef Endre,

I agree with your take on the market. The powers at be definitely miscalculated the tightening of the money supply for the buyers (which comes as no surprise as they haven't done much right) and only driven home prices up. There are fewer homes sales but good ones! 

Jun 09, 2023 08:23 AM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Wayne Martin  loved your observation and adding to the conversation, Endre

Jun 09, 2023 01:15 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Nina Hollander, Broker  indeed  economics 101 in college is what I keep educating the clients here as well:)Endre

Jun 09, 2023 01:16 PM
Nina Hollander, Broker

Endre Barath, Jr. Freshman year econ 101... the very first lesson was supply and demand. I remember that class very well.

Jun 09, 2023 01:31 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Kat Palmiotti  when that happens, I keep telling the clients after things do not work out, please remember to reach out to me when the listing expired, Endre

Jun 09, 2023 01:18 PM
Sheri Sperry - MCNE®
Coldwell Banker Realty - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

Hi Endre Barath, Jr. - Your observations are very astute, as always.  If the Fed wants inflation to end, it must do something about the high energy prices.  Every good and service needs the energy to exist.  Whether it is electricity or fuel for vehicles, that high cost is passed on to the consumer. 

Jun 09, 2023 02:52 PM
Katina Hargrove 352-551-0308
Stake Your Land Realty, Inc. - Eustis, FL
Broker/Owner, SFR®, e-PRO®, GRI, AHWD, REALTOR®

Good morning Endre,

Thank you so much for posting, the market here in Florida is very similar to California and other states as well.

Jun 10, 2023 04:53 AM
Jerry Newman
Brown Realty, 210-789-4216, - San Antonio, TX
Texas REALTOR, San Antonio Military Relocation

Hi Endre Barath, Jr.Believe it or not, we have the same situation here. Today's buyers are more conscientious about homes that are priced correctly. Especially, since rates are much higher than last summer.  

Jun 10, 2023 09:31 AM
Beth Atalay
Cam Realty and Property Management - Clermont, FL
Cam Realty of Clermont FL

Hello Endre Barath, Jr., I have a few sellers who simply can not accept the current market conditions. Long gone are the days of multiple offers over the list price. 

Jun 10, 2023 11:20 AM