Ever wished for a glimpse into the future?
As I step into my 37th year in the real estate realm, I’ve witnessed numerous market waves. Here’s a concise update on the 2023 housing market for our readers.
Recent data from Bright MLS indicates that our local sector is more resilient against significant shifts compared to other parts of the U.S. Anticipated trends suggest a decrease in sales but more consistent pricing across the Mid-Atlantic Region—a positive takeaway.
The latter half of 2022 saw some hesitation from both buyers and sellers, thanks to escalating mortgage rates and economic unpredictability. A stark 19.1% annual drop in home sales was reported by Bright MLS from the previous year. This change in purchasing dynamics means many potential buyers are adopting a “wait and see” stance for 2023, a trend soon-to-be sellers should note.
In recent months, the average 30-year fixed-rate mortgage peaked at 7%. On the bright side, rates have begun their descent, albeit slower than their ascent. Reliable sources in the mortgage field project a steadying at around 6% throughout the year.
Why won’t these reduced mortgage rates significantly boost housing demand? Two factors: many intended 2023 buyers capitalized on record-low rates and made early purchases, and the current housing stock is notably limited.
On the price front, we expect home sale prices to remain stable. Potential fluctuations might be observed in vacation hotspots and remote “zoom towns,” especially with the resurgence of urban living. However, such changes should remain minimal.
Buyers, in this climate, are beginning to regain leverage. As homes spend longer days on the market, I’ve noticed more concessions and price negotiations favoring the buyer’s side.
In such times, the Brett Furman Group pledges to uphold our standard of excellence, leveraging technology to engage a broader digital audience. While we might not have a crystal ball, our right price analysis remains a dependable tool, whether you’re looking to sell efficiently or buy wisely.
