What Are We Seeing Heading Into the 4th Quarter?
Welcome to another edition of Mark's Market Update!
St. Louis Real Estate Update:
- Last few months, we've started seeing changes
- Changes mirror what's happening nationally, except for the extremes that are happening on the coasts that we're not seeing in St. Louis
Good news: Going into September we're actually seeing stability.
- June was definitely the time that the market was really mixed up with inflation occurring, increase in interest rates, the Fed continuing to raise rates, the stock market decreasing.
- We are starting to see some stability right now. The biggest impact that's happening right now is the lack of multiple offers. We're still seeing great selling prices, and still over asking sales, just not multiple multiple offers on all homes
- Home listing (asking) prices over the last few months have not changed. However, what has changed is the closing/sale price. 2-4 months ago we were seeing list to sale prices of 105%, now we are seeing closer to 100% or under
- Days on market (time it takes for homes to sell), is still consistent with previous months.
What are we projecting for the fourth quarter?
- More insecurity in the marketplace.
- Fed is going to raise interest rates (which doesn't directly correlate to mortgage rates), but it does have an impact on the economy
- General softness in real estate.
If you are a buyer and believe you are going to be able to "steal" homes right now, it's just not going to happen as inventory levels continue to go down
- In the past, there was inventory increases entering the fourth quarter. We are seeing inventory decreases, a function of sellers taking their homes off the market and prospective sellers not putting their homes on the market.
- They've heard real estate is shifting.
If you're a home seller, there's a weakness in inventory for great homes that are priced right and prepared for sale
- Haven't heard of preparing a home for sale in a while, as buyers were buying most houses as-is, due to the strength of the market.
This is a little bit different market, contingencies are back in many cases and less competition; but still HUGE demand
- Prepare your home for sale
- Market the home to the highest level
- Price it right
If you have any questions about buying, selling, investing, don't hesitate to reach out.
- If you're a seller, get your home on the market.
- If you're a buyer, there's some great opportunities
The best time to buy or sell is when it's the best time for you and your family to buy or sell - you can't time the market.