Are We Heading Towards a Buyer's Market?

Even though our market is slowing down, I’m explaining why we probably aren’t heading for a true buyers market.

Have you noticed a shift in our housing market lately? Homes are taking longer to sell, and prices are volatile nationwide. Depending on where you are, prices could start coming down for the first time in years. This has made many wonder, “Are we finally heading towards a buyer’s market?” My best answer is no; at least, not exactly. Instead, I’d say we’re more likely to head to a balanced market where both sellers and buyers have opportunities if they know what to look for. Here are three things you need to know about our market right now to make sure you get the best deal possible, whether you’re buying or selling:

1. Why is our market balancing out? Despite record-high home prices and shrinking demand, prices aren’t falling in most areas of the country. While these conditions might make it seem like we’re heading for a buyer’s market, the truth is that prices are being kept in check due to low supply. Inventory has increased nationwide, but this hasn’t been enough to offset the persistent lack of supply in most markets. If inventory continues to rise, the market could eventually favor buyers; however, low supply and low demand are offsetting each other.

"We have good reason to believe the market will shift soon."

2. Condition matters. In the current market, there is a huge gap between homes in good condition and those that need work. Due to affordability issues, buyers don’t have extra cash to make repairs after closing. If you don’t make the proper repairs before listing, you could suffer from a lack of demand that makes it feel like you’re in a buyer’s market. On the other hand, if you work with your agent to get your house ready for the market, multiple offers could come in quickly. You might even create a bidding war! Work with your agent and consider a pre-listing inspection, and you can still get an amazing deal on your house.

3. The market may speed up again soon. While lower activity might make you think we’re heading for a buyers market, we have good reason to believe a shift is right around the corner. Due to worse job reports than expected, most experts believe the Federal Reserve will lower interest rates soon. This will make buying a home more affordable and spur new buyer demand. Tons of would-be buyers have been sitting out of the market waiting for rates to drop, so as soon as the news hits, we could see a fresh wave of demand. There will be tons of competition when the Fed finally drops rates. If you want to avoid potential rate drops or are interested in a free pre-listing consultation, please call or email me. I am always willing to help!

How Do I Prepare My Home for Showings?

Discussing the key benefits of offering competitive buyer agent rates.

WIn case you don’t know, the real estate world was flipped on its head recently. A lawsuit against the National Association of Realtors is challenging how buyer agents get paid, and it’s left a lot of people confused. Here’s the short version: A court recently ruled that the current structure of buyer’s agents’ commissions was illegal and needed to change. In the past, the seller would pay full commission to their agent, and the seller’s agent would then split that commission with the buyer’s agent. In this way, the buyer wouldn’t actually need to put any money down for their representation. Now, the buyer commissions are negotiated separately from the seller side. So, do you still need to pay the buyer’s agent’s commissions when selling your home? If you want the best representation possible, yes, and there are a few key reasons why: 1. Setting a rate upfront avoids negotiations. Since buyer commissions are now negotiable, it’s better to get ahead of things and agree to a rate before negotiating. If you wait until closing to negotiate your buyer commission rate, it could become a sticking point that slows down your sale or jeopardizes the translation altogether. You may even have to end up paying extra just to make your buyer happy. Instead, I recommend communicating upfront about what you’re willing to pay to avoid confusion and unnecessary negotiations.

"Set your rate based on comparative home sales in your area."

2. Offering a competitive rate will help your home sell. Just like you look at similar homes in your area to determine your listing price, you should also look at similar buyer’s agent rates in your area to determine how much commission you offer. A higher rate is a sign to buyers that you’re serious about getting your home sold and will probably reduce your time on the market. However, you don’t want to make your rate too high and end up paying unnecessary fees. Work with your agent and look at similar homes in your market to find a Goldilocks rate that isn’t too high or too low.

3. Offering no commission to buyers comes with risks. You may think it makes the most sense to offer zero commission upfront and simply negotiate a low rate at closing; however, this isn’t how things will work in practice. Just because you list your home and offer a 0% rate upfront does not mean you won’t pay any buyer commissions—most buyers will simply ignore your home if they think their representation won’t be compensated. Instead, it means you’ll have to negotiate the rate at closing, which can lead to a drawn-out sale and potentially paying more than you would have otherwise. I know this topic can be a little confusing, so don’t hesitate to call or email me if you have any questions. Plus, I offer a flexible commission menu so that you can pay for representation no matter what your budget is. I look forward to hearing from you!

What You Need To Know In the South Sound Market

May housing trends, inventory, and key market insights in South Sound.

Once more, I’d like to share with you some market updates, this time for the month of May, focusing specifically on South Sound Area. Things have been looking up in our area as market activity continues to be elevated. While it’s still a seller's market, home sellers are advised to price their homes accordingly. As for buyers, swift action is recommended, as we are currently experiencing a very fast market. You can watch the whole market update in the video provided or use the timestamp below to skip to the topic that matters to you the most:

0:00 — Overview of South Sound's May market situation 

0:26 — Median sales price trends and home values

0:58 — Market trends and dynamics

1:28 — Appropriate pricing and median days on market

2:27 — Course of action for buyers 

3:43 — Pending sales and market activity

4:03 — Homes for sale vs. homes sold

4:37 — Impact of monthly housing inventory and home prices

5:39 — Home seller workshop

6:23 — Interest rates

7:47 — Median monthly principal and interest payment

8:22 — Down Payment Assistance programs

9:22 —  Number of first-time home buyers

10:07 — Median asking rent

10:36 — Contact us

If you have any questions or would like to know more about the real estate market, feel free to reach out by phone or email. I also want to take this opportunity to invite you to attend our free home seller workshop for more insights and resources. Again, let me know if there’s anything else I can help you with. I’d be happy to help!

April 2024 Market Updates For Pierce County Real Estate

Discover the trends, inventory, and key market insights in Pierce County.

Today, I’d like to share April 2024’s market update, focusing specifically on Pierce County in the South Sound Area. There’s been a lot of chatter, both positive and negative, causing some confusion. I want to cut through that and share actual data so we can set things straight. You can watch the whole market update in the video provided, or you can also use the timestamp below to skip to the topic that matters to you the most: 0:00 — Introduction to Pierce County’s Market Update 1:01 — Median sale price 1:35 — Actual list price to sale price 2:31 — Days on Market 2:55 — Pending sales 3:31 — Homes for sale vs. homes sold 4:10 — Impact of monthly housing inventory on home prices 4:53 — Home seller workshop 5:43 — Interest rates 7:03 — Number of first-time home buyers 7:31 — Median asking rent 9:03 — Projections moving forward 9:46 — Wrapping things up If you have any questions or would like to know more about the real estate market, feel free to reach out by phone or email. I also want to take this opportunity to invite you to attend our free homeowner-seller workshop for more insights and resources. Again, let me know if there’s anything else I can help you with. I’d be happy to help!

Is Pierce County Real Estate a Boom or a Bust?

Sharing with you the latest trends in the Pierce County housing market.

Are you thinking about buying or selling a home in Pierce County? Then, you better be equipped with real estate market conditions to maximize your chances of getting the best deal for your property. I’m here to break down the latest market trends, from median sale prices, market activity, inventory levels, and even expert forecasts.

Feel free to watch the whole video and get the big picture of the current market. You can also use the timestamps below to focus on the things that matter most to you when it comes to real estate: 0:00 — Overview 0:47 — Median sale price and market activity 2:53 — Pending sales and inventory 3:44 — Market conditions 5:05 — Upcoming home seller workshop 5:40 — Interest rates and affordability 6:34 — First-time homebuyers and financial outlook 8:16 — Expert predictions and advice 9:53 — Wrapping things up Don’t hesitate to call or send me an email, and together, we can leverage this data to develop a personalized strategy to help you achieve your real estate goals in Pierce County.