What’s Happening in the Current Market Shift? (July 2022 Market Update)
If you’ve been keeping an eye on the news lately, then you probably already know that the real estate market has shifted. Even in just the past couple of weeks, there’s been a notable change. However, it’s not surprising—we’ve been anticipating this shift for quite some time.
Here are a few takeaways for buyers and sellers right now:
Inflation and interest rates are up. This is affecting the housing market in that many would-be home buyers are pausing their home searches.
For buyers, there are more homes to choose from now. This is a change from the intense seller’s market of the past couple of years. Now, buyers will often have more time to tour and think about a home purchase. Offer review dates are likely to disappear.
It’s by no means a buyer’s market yet, but buyers are finally catching a break! In our current market, buyers will often be able to negotiate contract terms. Even just a couple of months ago, this was not really an option if you wanted to have a competitive offer and a chance of winning.
In mid-June 2022, Pierce County’s real estate market dipped below 100% “chance of selling.” In the graphic below, you can see that just a couple weeks ago, the chance of selling was 133% and it has now dropped to 98%.
Here is some more “chance of selling” context for areas within and surrounding Pierce County:
The number of days that a home for sale spends on the market will continue to grow as we get a more balanced market. Sellers should expect their homes to likely be on the market longer. In a “normal” market, we typically see homes spend 30 to 45 days on the market. We may even see homes spend as long as 90 days on the market.
We may see seasonal slowdowns come back. Historically, there are certain times of the year when the real estate market slows down for one reason or another. Typically this happens in August/at the end of summer. A weekend with particularly nice weather can even mean a slower market. The holiday season is another time when the market has historically slowed. We anticipate seeing more of this in the months to come.
If you have any questions about buying or selling a home, we’re ready to help. Get in touch with a local real estate professional here: https://www.windermerepc.com/contact