It usually follows a 10-year pattern through four key phases: expansion, peak, slowdown, and recovery. From 2010 to 2019, we saw a solid expansion phase, which culminated in a peak in 2019 with heightened buyer demand and rising prices. We expected 2020, 2021, and 2022 to be our slowdown and recovery years, but then COVID-19 threw a wrench in those plans!
Now, as we gear up for 2025, the market is starting to feel a lot like it did back in 2019! Inventory is stabilizing, and while buyer demand isn’t as high as we’ve seen in the past, there are promising signs of recovery. I explain some more key takeaways about the market at the bottom of this newsletter if you're into data I've included a link to watch a more in depth explanation.
But what does this market mean for you as a buyer or a seller? Honestly.. it means that buying or selling a home should always revolve around what’s right for you—regardless of where mortgage rates are headed. If you're ready to move, then move! Get creative. If you currently have a super low mortgage rate that you can't stand to get rid of, consider keeping your home and renting it out. Not an option? Then let's meet to see what you can realistically sell your home for. If you're able to sell for top dollar, you can look at your proceeds and really figure out what your new mortgage be knowing you have equity for a down payment. You will never again have a mortgage rate this low, but does that mean you're going to stay in your house forever?
Also, check out the different lending options available based on your area or income. For example, the Federal Home Loan of Des Moines recently launched a mortgage rate relief program for households making 80% of the median income. This could open doors for a lot of buyers looking to enter the housing market.
Overall, let’s get creative in exploring your options so you can make informed decisions and see the whole picture for deciding when buying or selling is right for you.
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