My View of the Market - September 2024

Last week Jerome Powell announced what every Realtor or people looking to buy a home has been impatiently waiting for – a cut in rates. But, being the cautious observer I am, I waited a week to share what I see the cut has meant to our market. Taking in to account my own clients and chatting with other agents about their experiences, after only one week, wait for it…not much has changed. Yes, there have been more potential buyers exploring open houses. But given the hype, not as many as you might think. Maybe even a bigger surprise is that the rate cut has not led to an increase in written offers. In conventional wisdom, it’s baffling. With an increase in inventory, buyers have more options now than they have had in over 5 years. Throw in a .5% cut in rates and one would have thought it has to be a perfect scenario for current buyers.

But guess what? IMHO, buyers might just be feeling a little smug. The days of writing an offer on a house because it is “pretty close to what we want, we don’t want to lose it, and we are tired of looking” are gone. What we are witnessing is the return to the age-old lag for everything in real estate. Buyers are easing back into the psychology of homes sales that they can take their time and make the right decision. Add to that the fall chill where football and hockey seasons send people back inside for hibernation until after the holidays. What does a would-be seller do now? My expert advice: wait to list, but call me now to discuss how to prepare for next spring. If you are buyer? I’m asking, what are you waiting for? Get it now before the masses come out next spring and bring higher home prices. You heard it here first.

My View of the Market – September 2024