Calling the TOP of the Real Estate Cycle

Blog Post Image
Real Estate

I am officially calling the TOP of this cycle! Now is the time to CASH out if your plan is to sell your real estate at the top of the market and here is why...

After 10 years of  real estate value's increasing on a steady basis, we are at a turning point. Due to the increase in interest rates, many buyers can no longer qualify to purchase a home and are staying in the rental market. BTW, rents are crazy high and increasing. To add insult to injury, many experts are expecting the fed to increase the interest rate once again by the end of the year to slow inflation. Some expect that mortgage interest rates could go as high as 7% by the end of the year. New housing starts have decreased in the 3rd quarter of 2022 for the first time since 2012 which is an indicator for advisors at FNMA and PMI, and major new home builders that there is a turn in the real estate cycle. New listings are no longer seeing multiple offer situations to the extent that we did just a few months ago.

What this means for those looking to purchase real estate...

It is also a great time to buy now before rates increase once again. They are hovering around 5% at the moment which is still a great rate if you can find a home that meets your needs. If your renting, rental prices are crazy and most likely will increase. If you were looking and ran into multiple offer situations that put you out of the running, you may have better luck now. Open house attendance is down in our area and homes are staying on the market longer. I would predict that we won't be seeing offers grossly over the asking price again.

Let's take advantage together. Message, text or call me for more information.

Yours,

Melissa Corkum
Coldwell Banker Realty


Phone: 978.270.4993

www.melissacorkum.com


Email: Melissa.Corkum@NEMoves.com