For The Right House, Buyers Will Move: Q3 findings.

We are seeing an interesting, almost split, buyer response when it comes to new homes on the market. Homes in need of updating sitting on the market- even if priced appropriately. At the same time, we are still seeing turn-key homes priced well flying off the market in just a couple days. Buyers willing to increase their housing by purchasing a home with current interest rates seem unwilling to pay the top of their monthly housing allowance for a home they are not excited about or is in need of repairs. Perhaps it is because there is no margin for updating and fixing.

If we look at the MLS activity overall, the data is showing the market slowing a bit further, which is to be expected in Q3 and Q4 of any year as we head into the autumn and holiday season. The number of showings per listing is continuing to drop.

July, August and September saw a very slight increase in homes on the market, with a dropping amount of new listings, which is signaling that inventory is not being purchased, increasing our months supply from Q2’s 4.1 months to 4.7.

The main factors we are seeing for slowing buyer activity is seasonality, but also the persistent uncertainty in the economy from the Iran war and seemingly erratic behavior from the White House. But based on how quickly homes in great condition are being gobbled up by buyers, sellers can still accomplish their goals by using extra care and strategy when listing their homes. Opportunity still exists in any market, and cash buyers are able to get great deals as sellers look at lower priced options.