MARCH 2024
REAL ESTATE MARKET UPDATE
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February 2024 Market Recap - Homebuyers Face Stiff Competition and Rising Prices
A recent report paints a vivid picture of the current housing market—a seller's paradise characterized by fierce competition and escalating prices. This situation stems from a drastic decline in available properties compared to last year. Housing inventory has shrunk significantly, leading to bidding wars erupting for the limited number of homes on the market. This intense competition has inevitably pushed prices upwards, making it even more challenging for new buyers to secure a home.
Adding another layer of complexity to the already competitive landscape are rising mortgage rates. This double whammy of fewer options and increased costs creates a significant barrier to entry for many aspiring homeowners. However, despite these hurdles, the desire for homeownership remains strong. Many buyers are determined to secure a property before rates climb further, fueling the high demand for the limited available homes.
While the number of new listings is holding steady, it is simply not enough to keep pace with the current demand. This imbalance between supply and demand creates a seller's market, giving sellers the upper hand in negotiations and pricing.
Home price increases are still following a seasonal pattern, although the pace is faster than last year. Furthermore, foreclosure rates remain low, indicating a healthy market compared to the pre-pandemic era.
A recent report paints a vivid picture of the current housing market—a seller's paradise characterized by fierce competition and escalating prices. This situation stems from a drastic decline in available properties compared to last year. Housing inventory has shrunk significantly, leading to bidding wars erupting for the limited number of homes on the market. This intense competition has inevitably pushed prices upwards, making it even more challenging for new buyers to secure a home.
Adding another layer of complexity to the already competitive landscape are rising mortgage rates. This double whammy of fewer options and increased costs creates a significant barrier to entry for many aspiring homeowners. However, despite these hurdles, the desire for homeownership remains strong. Many buyers are determined to secure a property before rates climb further, fueling the high demand for the limited available homes.
While the number of new listings is holding steady, it is simply not enough to keep pace with the current demand. This imbalance between supply and demand creates a seller's market, giving sellers the upper hand in negotiations and pricing.
Home price increases are still following a seasonal pattern, although the pace is faster than last year. Furthermore, foreclosure rates remain low, indicating a healthy market compared to the pre-pandemic era.
NWMLS Market Snapshot - February 2024
George Moorhead of Bentley Properties talks about Inflations Causing Rates To Go Up and Is The Real Estate Market Crashing? Plus, Top 5 Things You Need To Look For When Getting Mortgage Rates
