Here’s what buyers and sellers need to know about our market.

What can you expect from the real estate market in 2023? If 2022 was characterized by being a year of volatility, I think the theme for this year is going to be a return to normalcy. 

If we look at what’s going on with home price trends, most experts have been predicting that things are going to stay fairly flat. More recent listings are even starting to see multiple offers again due to low inventory.

The most important thing to understand is that the sky isn’t falling.  We saw a massive build the last couple of years but that’s not turning into a bursting bubble.  We may continue to see some uncertainty with rates and the economy but the general trajectory of the market is positive.

What will dominate the news?  Record low inventory and higher rates mean that fewer homes will sell.  Based on what we’re seeing right now, though, the homes that do sell will do well.  Fewer homes selling and a lower dollar volume isn’t a predictor of a crash – just a slower overall pace.

“We’re heading back to a more normal market.”

Essentially, our market is predicted to return to pre-pandemic levels of activity. Due to higher interest rates and low construction numbers, there will be fewer options for buyers to choose from. I think it’s likely this will rebound in 2024 as rates moderate and consumer confidence builds.

Early this year, it looks like consumer confidence will be the biggest factor driving our market. In the past few weeks since filming this video we’ve received some very encouraging signs that buyers are pushing back into the spring market. The initial uncertainty caused by rapid rate hikes has calmed down as rates have trended down and many homeowners in our area are preparing for moves due to military change of station, government & job transfer and remote work affecting how close to work they need to live.  Sellers aren’t in the pickle many thought they might be in with prices holding steady and rising as inventory remains low.  Buyers may have a great opportunity early this year to buy before prices increase and refinance when rates come down.

“Buy the house…date the rate.”

Gillies Team Real Estate has partnered with two of the highest-rated local lenders (licensed in most US states as well) to offer you special financing rates that you won’t be able to get from big banks like Wells Fargo or Navy Fed. When you work with GTRE and our lender partners, we’re excited to offer you the opportunity to refinance in the future with NO lender fees.

This means that you can buy now before prices rise later this year and refinance when the time is right to lower your monthly payments. This will save you thousands of dollars over the life of your mortgage and thousands on your purchase price.

If you have questions about this topic or our special financing and refinance program please call or email us. We are here for you!