Buying in what seems like a slower market?
There's no question something has changed in the Houston Real Estate Market! Other agents have brought it up in conversation, and both sellers and buyers I am currently working with have noticed some kind of change as well! Where houses were getting snatched up in a blink of an eye earlier in the summer (which still is happening at a lower price point).... Now most seem to be sitting active much longer and you see more price drops across the board.... not to mention less inventory to choose from it seems as well.
A slower market shouldn't deter you from beginning or continuing your home search as long as you have realistic expectations. Many real estate agents advise their seller clients to hold off on marketing their homes in August because it's often a slow time for sales. This means there might be a slowdown in new inventory coming on the market and fewer new listings for you to consider.
Patience is the name of the game in today's real estate market. There are many uncertainties about where the market is heading. Many economists think we've hit a point where we will see prices starting to drop. Or it might be a small phase and things pick right back up again. One report stated that Houston Homes are overpriced about 10-11% and will need to come DOWN to be where we should. This might be concerning for people who might fall into the category of "overpaying" for the home they are in now.
Try not to dwell on national headline news regarding the housing market. Real estate is all about location. It's imperative that you research your local market to find out what conditions apply there. Home sales in your area could be better, worse or similar to what's going on nationally. Don't make homebuying decisions based on national data.
In areas where there is plenty of inventory and homes are selling slowly, buyers have MORE opportunity to negotiate price or wait for a better deal if they run into a stubborn seller.
Most buyers prefer to buy when the housing market is on solid ground. However, prices tend to be higher. Think of this... would you rather have purchased in 2006 when buyers couldn't buy fast enough? (which we saw a lot of this earlier this year as well) Many of those buyers lost their homes in foreclosure during the five years that followed when home values dropped 25 to 50 percent, depending on the location.
It may take time to find the right home, particularly if there is a lull in new inventory coming on the market. But it's essential to wait until the right house comes along. You may not be able to sell it again soon for what you paid if you factor in the costs of sale. PATIENCE IS THE KEY! :)
A slower market shouldn't deter you from beginning or continuing your home search as long as you have realistic expectations. Many real estate agents advise their seller clients to hold off on marketing their homes in August because it's often a slow time for sales. This means there might be a slowdown in new inventory coming on the market and fewer new listings for you to consider.
Patience is the name of the game in today's real estate market. There are many uncertainties about where the market is heading. Many economists think we've hit a point where we will see prices starting to drop. Or it might be a small phase and things pick right back up again. One report stated that Houston Homes are overpriced about 10-11% and will need to come DOWN to be where we should. This might be concerning for people who might fall into the category of "overpaying" for the home they are in now.
Try not to dwell on national headline news regarding the housing market. Real estate is all about location. It's imperative that you research your local market to find out what conditions apply there. Home sales in your area could be better, worse or similar to what's going on nationally. Don't make homebuying decisions based on national data.
In areas where there is plenty of inventory and homes are selling slowly, buyers have MORE opportunity to negotiate price or wait for a better deal if they run into a stubborn seller.
Most buyers prefer to buy when the housing market is on solid ground. However, prices tend to be higher. Think of this... would you rather have purchased in 2006 when buyers couldn't buy fast enough? (which we saw a lot of this earlier this year as well) Many of those buyers lost their homes in foreclosure during the five years that followed when home values dropped 25 to 50 percent, depending on the location.
It may take time to find the right home, particularly if there is a lull in new inventory coming on the market. But it's essential to wait until the right house comes along. You may not be able to sell it again soon for what you paid if you factor in the costs of sale. PATIENCE IS THE KEY! :)
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