Right now, 70% of buyers feel right now is NOT a good time to buy a home. Understandably, buyers are seeing the price of homes increasing along with rising interest rates impacting home affordability. That, coupled with inflation, is creating an uncertain environment for buyers. Today on My Greenville Home, Dan is breaking down the local real estate statistics to help you gain a realistic perspective on the market and why now is still a good time to buy in Greenville.
“We’ve been in a real estate sprint for the last two years, and now we are slowing to a jog,” Dan explains. “The market is still booming, it just looks slow relative to the last couple years.”
There are a number of other factors that point to a slow down in today’s market…
Demand for homes has been outstripping supply for the last few years. But in many markets, we’re beginning to see a rise in inventory. However, that’s not the case in Greenville (yet). The shift is occurring but Greenville’s popularity will delay that change slightly.
Price cuts and reductions are another telltale sign of a slow down in the market. Rather than receiving 10-15 offers on a listing, sellers are receiving 3-4, and occasionally a home is actually selling for under list price.
“We want to be IN the market, not ON the market,” Dan explains. Price accordingly. An experienced local agent will know how to price your home to ensure a quick and profitable sale regardless of market dynamics. “If I were selling my home,” Dan points out, “I would slightly price down in this market to make my home competitive and make it sell quickly at list price.”
Are we headed for another housing market crash?
Many people fear the oncoming Recession will result in a destroyed housing market not unlike 2008.
There’s no debate – a recession is on the way. By definition, a recession is two consecutive quarters of reduced GDP which we are already experiencing. But this isn’t a huge cause for concern; economics follow a cyclical pattern and so a recession is inevitable. It is important to note, however, that this Recession will not result in a housing crash like in 2008.
Our housing market from a health perspective is much better today than it was in the early 2000s. People have equity in their homes, mortgages are healthy. The average FICO score on mortgages today are well over 751 as compared to 2010 when scores were 699. At the same time, leverage (or debt) has fallen significantly.
To learn more about the real estate market in the United States and what’s happening here in Greenville, listen to this entire episode of My Greenville Home Radio:
Dan Hamilton is the founder of Hamilton & Co. and the lead listing agent for the team. He is the only agent in the Upstate endorsed by Shark Tank star and real estate mogul Barbara Corcoran. Additionally, Dan hosts a weekly radio show on The Answer 94.5 and 106.3 WORD giving tips and advice on real estate and is a frequent contributor for real estate on Your Carolina TV show on WSPA Channel 7. Visit mygreenvillehome.com to learn how Dan can help you sell your home.
