Is the market Crashing???

Is the Market Crashing???

The seller's market was RED HOT in the first 5 1/2 months of this year.  Up until that time, 70% of homes that sold went Above Asking Price!  Wow!  That is unprecedented!  Year-over-year home prices went up more than 20%!  Unbelievable!!!  But unsustainable.

But what happened in June?  Homes did not receive multiple offers in 3 days.  Prices did not go over asking price.  Interest rates "skyrocketed up to 6%!"  Home buyers began to cancel their contracts before closing!  Many sellers lowered their list prices!  Instead of taking 2-3 days to sell, homes started taking 2-3 weeks or months to sell!  Did the market crash?

The short answer is NO!  The market isn't crashing; rather, it's normalizing but still red hot!  You see, a "normal" market usually has marketing times of 3-6 months.  Price lowering is common to stimulate interest and accommodate a lack of updates.  

Although 6% interest is higher than the 2-3% we saw earlier in the year, it wasn't that long ago that I refinanced my own home at 6% and thought it was a give-away!  I also worked through the early 1980's when interest rates of 16-17 1/2% were the norm!  So market changes are the norm, my friend -- always have been and always will be.  But remember this today:  There is strong demand for housing, the supply is low, interest rates are normal, people have jobs, that is, employment is high, and many have cash in the bank!  That is the formula for a strong real estate market, albeit normalized.

The way to navigate the market is to consult with an experienced professional who you can trust to give you great advice.  And of course, that is the exceptional agents of The Sam Team at Houston Top Realty.  We are here to give you the benefit of 47 years full-time experience ONLY in the Greater Houston market.  

It is still a great time to sell . . . and also a great time to buy!  Real estate is still your best hedge against inflation, and your best approach to building long-term sustainable wealth.  Call us at 832-200-5656 for a free consultation or email info@TheSamTeam.com with you questions.  We want to be Your Realtors® of Choice!