National Market Update #6 - So much Drama this year?

No question, the housing market has seen a dramatic shift this year.  Coming off of a very robust 2020 and 2021, it seems like the 2022 housing market came to a screeching halt for both buyers and sellers.  We have seen elevated mortgage rates, sluggish home sales and high inflation take a significant toll on the market.  But with all that said,  it is unlikely these issues will cause home prices to dramatically drop in 2023.  Hi, I am Krista Mashore with Homes by Krista and ExP Realty.  As an agent, it is my top priority to make sure my clients are completely educated with the current market conditions whether buying or selling. At the National Association of Realtors conference last week in Florida, Lawrence un chief economist for NAR gave his prediction for 2023 after analyzing the current state of the market. According to Yun, even with all the shift in rates, inflation, prices, we may see a further uptick in home prices in 2023. He says, “For most parts of  the country, home prices are holding steady since inventory remains low”.  In addition, distressed property sales or foreclosures are almost non-existent, at just 2% nationwide nowhere near the crash of 2008.  And because home equity has boomed over the last two years, short sales are almost impossible.He also predicted an increase of 1% nationally in the national median home price and some markets will fare better than others depending on the location. Of course, these are all predictions and should be taken at face value. We all hope to see inflation and mortgage rates come down in 2023. And like I remind my clients, we do not have a crystal ball to see exactly how things will play out.  It is always best to connect with an experienced and trusted agent to give you all the latest market information. Feel free to reach out to my team and I today to help with all your real estate needs.