What are Headlines saying about Real Estate

What are the headlines saying and where is the opportunity. This is a challenging market without question. I always look for opportunity in any of the market signals. If we have opportunity, all the other head winds really are distractions. Here are headlines from today, September 27, 2023, news stories.

FLORIDA OVERTAKES NEW YORK AS SECOND BIGGEST US MARKET

NEW HOME SALES FALL TO FIVE-MONTH LOW AMID ELIVATED RATES

EXISTING-HOME SALES FALL TO SEVEN-MONTH LOW ON RATES AND SUPPLY

STUDENT LOAN PAYMENTS RESTART WILL DENT U.S. HOUSING MARKET

HOME INSURANCE WOES THREATEN MORTGAGE LENDING, EXPERTS WARN

HOME PRICES GREW TO RECORD LEVELS IN JULY

HOMEBUILDER SENTIMENT DROPS AS MORTGAGE RATES RISE

MORTGAGE APPLICATIONS HIT LOWEST LEVEL SINCE 1996

Allot for one day! So, let’s break it down and look for opportunity. I LOVE THE FIRST HEADLINE!!!

To my Florida Realtor partners, maybe it’s time to look at your marketing. Reach outside of local markets and try to find partners in other states that can help you with buyers for your listings. (I am available for that!)

Rates are going up; home prices are going up and inventories are coming down. Affordability is a major factor in home buying. We see student loan repayment and hazard insurance eroding purchasing power. Last year was Marry the House and Date the Rate! SO let’s see how you would have done by buying in September of 2022 in Sarasota (Numbers based on Florida Realtors data)

2022                                                                                                2023

Median home price $520,000                                                  Median $535,000 + 3%

Rate 6.375% 30 YR FIXED                                                           Rate 7.49% 30 YR FIXED

Mortgage payment on a loan 80 LTV                                      

$2,620                                                                                             $2,934

So those people who waited for the market to change, it cost them an additional $15,000 to buy the home ($3000 in down payment) and $314 a month in payments.  

Opportunity, buying now can save you money, now and in the future. The Federal Reserve has signaled that they are willing to hold rates higher for longer. Inventories are shrinking and the backlog of buyers who are waiting or are priced out of the market is growing. When rates do come down, and they will, home buyers will scoop up everything and prices will go up even more. Then those that bought last year and this year will refinance and save money monthly, while earning all of that equity from a hot market.

We have a host of mortgage programs to help home buyers with payment relief. We as Real Estate and Mortgage professionals need to explain the market and the advantages of action now! The mice always find a way to out smart the mouse trap! If there is a will then there is a way! Home ownership is not just an investment, it is part of our basic need. Shelter! While it may cost a little more now, we can always make adjustments in the future,

I am available for deeper conversations on any of these topics and invite you to reach out to me to set up a one on one, or a sales team meeting.

Professionals come to play!