According to the experts, it might be starting to cool down already. And that could be good news whether you’re on either side of the real estate market and looking for viable property solutions.

Good News & Early Signs

First of all, when hot housing markets cool down, it doesn’t necessarily indicate that home prices are going to start plummeting. It simply means that they’re increasing at a slower rate. Let’s face it. Home prices have been at record highs lately. In fact, the median listing prices all over the U.S. in April actually hit $425,000. Now that’s a 14 percent increase over last year. So, what’s the good news? It’s the fact that it was actually a slightly slower growth rate than was seen during the period from April 2020 to April 2021 when the home prices saw an increase of 17 percent overall. And, a cooler housing market can also be good news for both homebuyers and sellers and even those parties on either side who are looking for a quick closing.

For the Buyers
Low inventory can be a problem for buyers, however, some early signs of change in that area seem to be on the horizon.  Although the total inventory may have been down by 13 percent in March (compared to the previous year), by the end of April, it was only down by 3 percent, according to research. So, buyers should be seeing not only more homes to choose from but also a lot less competition if this trend continues. So, which cities are showing the most inventory growth? Here are just five of them, according to recent research:

Austin, TX – 17%
Memphis, TN – 11%
Riverside, CA – 23%
Sacramento, CA – 12%
San Antonio, TX – 12%

For the Sellers

Even though the overall housing market may be cooling off, that really doesn’t mean that it’s going to get cold. Home prices are still on the rise and it’s likely that they will continue to do so. So, which US cities are still showing the highest price growth rates over the past year?
Austin, TX – 28%
Las Vegas, NV – 33%
Miami, FL – 38%
Orlando, FL – 31%
Tampa, FL – 29%

On the other hand, these five cities (among others) are seeing not just a slowdown but some actual home price drops:
Buffalo, NY – 9%
Cleveland, OH – 14%
Detroit, MI – 10%
Pittsburgh, PA – 15%
Rochester, NY – 20%

It’s Hard to Predict

Predicting exactly what will happen in the housing market in the future can be very difficult since everything is changing so quickly from month to month. In addition, the market on the west coast can be very different from what’s happening on the east coast. That’s why it’s always recommended that both buyers and sellers stay on top of the Real Estate market fluctuations whether a cash offer is in your future or you’re looking at “We buy houses washington” ads. Keep checking back for some more in-depth up-to-date blogs on the subject to keep you well-informed.

One Response

Leave a Reply

Your email address will not be published. Required fields are marked *