How do real estate buyers and sellers feel about the current housing market? Video
My thoughts on the current Boston condo for sale market, we could be seeing a pause, and for prospective home buyers, there are plenty of reasons to take a rest:
- Mortgage rates starting with a 5, not a three.
- The S&P 500 and Dow are down 15.9% and 11.3%, year-to-date.
- The list prices of homes for sale are higher than comps.
- Boston condo inventory is low
- It’s a good time for graduation/vacation season.
When I look at the current batch of unsold homes, I don’t see any surprises. Either they are inferior homes, or the list price is too optimistic (or both). It’s natural for Boston condo sellers to add a little extra mustard to a list price so the optimism isn’t a complete turnoff if the home has been upgraded nicely and is well presented.
Boston condo buyers taking their time and being more picky about what they will tolerate is a good thing for everyone. As for Boston condo sellers who do everything right (spruce-up, price attractively, and are easy to show and sell) will be rewarded, and those who don’t will languish.
It is a big change from the last two years when the frenzy caused buyers to jump for the inferior or overpriced homes AND pay over list for them too. Those days are gone.
If you see more than an occasional quality home not selling, then we have bigger problems. But for now, buyers could just be waiting for some quality inventory at a decent price!
In this real estate video “Monday with Matthew” video, Windermere Chief Economist Matthew Gardner covers the latest data regarding inflation.