Real Estate Market Trends, Fall into Winter 2024: Pricing, Mortgage Rates, Timing and Options
Are you wondering what is happening in the market today? Should you buy, sell, or wait? What are current interest rates and how will they affect your ability to purchase or sell? Let’s dive into the fall and early winter 2024 real estate market!
Current Real Estate Market
So far, this year has been nothing like the past 4-5 years in real estate. With a bit of a lull throughout the early part of 2024, predicting future conditions has been challenging. As agents list properties and we help buyers navigate their way, some challenges such as low inventory continue. Buyers can be choosy, and continue to be, even with the current home prices, of course depending on how quickly they need to purchase. What has become very difficult to predict is whether a home is going to move quickly or stick around for a while. We are often surprised that some beautiful homes are still out there waiting for the right buyer, while others have multiple offers. Trending on the cusp of early winter, we are seeing fewer multiple offers, more price reductions, and more negotiations between buyers and sellers. Can you still run into multiple offers? Absolutely!
Home Prices in the Current Market
Being in the field, we hear that home prices are too high, both in our Hayward area and across the nation. Some people are getting priced out of their home towns, or are unable to move up forcing them to relocate. Prices have been climbing steadily across the nation since 2008. We cannot predict whether prices will plateau, continue to rise, or fall. What we are seeing is more negotiation, and homes staying on the market longer with price reductions prior to being sold. Underlying motivations differ, with some sellers testing the market, while others are more motivated to sell.
Timing and Options
As we know, it is good to sell in a high market but having a place to go after your home sells continues can be a dilemma. We are seeing lenders getting a little more creative with options for sellers to buy before selling. Whether or not there are any new programs, lenders are utilizing what they already have, such as bridge loans, home equity lines, and financial investments. Putting more money down allows buyers to make stronger offers, standing up to cash buyers. With interest rates steadily declining into the 5% to 6% range, people are again starting to think about making a move, and can be encouraged by the predicted Federal Reserve rate cut.
Commissions
As of August 17, 2024, the National Association of Realtors® has changed the way commission is advertised on the Multiple Listing Services (MLS). Commission in general is still being negotiated and paid by the sellers. Forms have changed on how buyers and their agents can ask for the commission to be paid. There is some complexity that has been created by the association, however, buyers need to know that generally commission is still being paid by the sellers.
One note, buyers are now required to sign a pre-agency form in order to see any type of property. Pre-Agency authorizes the firm and its agents to help prospective buyers identify, locate, and show properties to a prospective buyer. It is not a contract between firm, agent, and buyers.
What’s Next: Tips for Buying and Selling Property
As we head into winter, real estate activity usually slows down. Sellers: It is still a good time to sell, as buyers are more ready and motivated, watching everything that hits the market. Buyers: The preferred times to view and buy land are late fall, winter, and early spring, as it is easier to visualize. There are often better opportunities to negotiate on pricing while buyers don’t have to compete on every house they come across. Buying and selling in the winter also brings excitement of new memories and adventures to plan for the upcoming year.
If you are looking, some of the best advice: “Always watch for new listings, as the right place could hit the market at any moment.”
When you are ready to choose a Realtor, give us a call! We welcome the opportunity to speak with you about your goals and answer your questions!
Stop by or give us a call at Route 63 Realty in Hayward, Wisconsin 715-558-7846. Our staff are readily available to help answer any questions you may have.
“Bringing Buyers and Sellers Together One Route at a Time!” – Route 63 Realty
