Team Skally | Market Update
Signs, Signs, Everywhere are Signs!
We're not talking about the song by the Beatles nor the political signs you see on every street corner these days. BTW - we've sure had enough of those signs already and we're still almost 2 months from the elections. In all seriousness, please plan to vote!
Okay enough about that, we're actually talking about the Real Estate headlines and how misleading they've been this year. We're truth tellers here at Team Skally and the fact is that Interest Rates have reached their 23-year high. That sucks of course, but it's not all bad news. Almost everything else you've heard that's negative just doesn't add up to us. Reality paints a different picture.
At the beginning of the year 8 major home price forecasters including Zillow and even Fannie Mae predicted a decrease in home values. What has actually happened? Well, in our area home values are up 8% over last year...the median price is up over $100K. All of those 8 forecasts have restated their numbers to predict increases now!
Some folks are saying the interest rates have made buying a home now a bad idea. Here's something to think about, if you were to buy the median home today, vs. a year ago, sure you'd be paying $27K more a year due to the appreciated price and higher interest rates. And yes that sounds terrible, but if you gained $100K in valuation (which the people who bought a year ago did) you'd be up $73K! Seems like a good investment to us. And that's not even mentioning the lifestyle benefits they're experiencing in their new home.
Can you imagine what's going to happen when rates go down? Historically, rates follow inflation and inflation seems to have stabilized and looks to be coming down and so too will rates. And when they do, home prices are going to shoot up even more! So why not buy now and refinance later? You'll be ahead of the real estate game, and as we like to say, #winning!
And what about those thinking of selling? Well, there is just 1.4 months of inventory on the market. If your home is turnkey (BTW that's what we do for our clients), it'll sell fast and for top dollar. If you're upsizing or downsizing your lifestyle you can certainly win as a seller.
So what's the short story here...well, it's super hard to time the market folks. It's kind of like winning the lottery. And as Warren Buffet says you can't expect to sell at the highest high and buy at the lowest low. Instead, pick a time in life that works well for you and hire the best team possible to minimize your pain (or perhaps even make it fun!) and maximize your gain! We'd be honored to be considered to be your home team!
Until next time, keep laughing, loving, living, and winning!
Matt & Christina
Matt & Christina are Team Skally, top real estate agents in the Seattle Metro with expertise in luxury homes on the Eastside including Bellevue, Newcastle, Mercer Island, Renton and Issaquah. Their client testimonials say it all - they deliver exceptional service and record-breaking results. Recognized as top agents on social media by Property Sparks, Diamond Award winners for best client service, winners of 2023 Nextdoor Neighborhood Faves and regularly featured in online and print publications including Greet - Newcastle & Newport Hills Magazine. In addition to serving clients, Matt and Christina love family time with their two boys and two Goldendoodles as well as volunteering in the community.