By Edmund Bogen | February 01, 2023
The housing market is showing signs of recovery, as pending home sales have risen for the first time in a year. This decrease in mortgage rates has incentivized buyers to come back onto the market and re engage in negotiations. Homeowners are selling their properties while new listings remain down 18% from a year ago, resulting in higher median prices.
According to Redfin agents, there has been an increase in client interest, with numerous requests for tours and sales that were long overdue finally coming to fruition. Chen Zhao, the head of economics research at Redfin, attributes this increased activity to the sustained decrease in inflation, which has helped to keep mortgage rates at a stable 6%. This stability in rates has allowed buyers to have a clearer idea of what homes they can afford, enabling them to make more informed decisions within their budgets.
The Edmund Bogen Team at Douglas Elliman Real Estate is optimistic about the current state of the housing market, viewing it as an opportune moment for buyers to reenter the market. They believe that as the market continues to show signs of recovery, some sellers may adjust their pricing downward in response, creating a potentially advantageous situation for buyers. With the combination of declining inflation and mortgage rates, the Edmund Bogen Team sees this as a prime moment for individuals to invest in property and potentially secure a good deal.