HOW THE END OF SEPTEMBER ROUNDED OUT
A shortage of listings continues. Understandably sellers are reluctant to sell with their own low interest mortgages. Buyer demand remains strong though currently buyers are spooked with the wars and the increase in rates regularly inching up.
Rates at 8-8.5% are expected by year-end. The rapid rise in rates is what has caused great shock to the market. Buying power has gone down 40%. A $500k purchase is now down to $305k. Or when buyers bite the bullet, with the $500k purchase their payment is up over $1,000/mo.
Home sales are down 50% over 2021. Average time now to sell a home is 2-2.5 months compared to 6 days just two years ago! FYI, “normal” is 5-5.5 months on the market before a contract.
We also see a softening in prices which is to be expected. Sellers should be realistic. Pricing a home too high can cause it to languish on the market.
BUT, with all that said, there are options out there for both buyers and sellers!
Attention Sellers! For anyone who wants out of their big 2-story home of 15 plus years, new construction is worth looking at! New home builders are offering interest rate buy-downs for buyers to take advantage of. Also, for builder inventory (existing homes that are complete yet not yet sold), builders are open to an offer making it even more appealing to investigate new home construction.
Also, sellers, I have access to investors who will give a fair market value offer for your home and allow you to remain in the home until you find another. 💡This is a good one to keep in mind.
Attention Buyers! Consider the benefits of buying a home with an assumable low-interest loan. I can provide those listings to you. Or ask a seller to buy-down your mortgage interest rate. Also, it’s a great time to offer on homes on the market 60+ days and even make it contingent on the sale of your current home!
NEWS BITS
- TERRIFIC DEAL! Fannie Mae will allow borrowers to purchase a 2-4 unit property with only a 5% down payment! Borrower would occupy one of the units. Who do you know that this would be good for? I‘ll hook you up.
- MYTH: Each credit check reduces your score: The two types of credit pulls are “hard pulls” and “soft pulls”. It’s a hard pull that affects your credit score, soft pulls do not.
- FALL & WINTER THINGS TO DO: Pumpkin patches & hay rides
— Western Mining Museum & Pumpkin Patch
— Longneck Pumpkin Farm
— Diana’s Pumpkin Patch & Corn Maze
— Colorado Pumpkin Patch
See all the details and info at VisitColoradoSprings.com.
I am here to help you move out and move on with your life! If you’re thinking of making a move and need an expert to brainstorm with, call me!
Janie Howard 719-287-0427
DATA SOURCE:
EMPIRE TITLE, Bill McAfee, President.