2023 Is A Great Time For Buyers

Some good information from our friends at Cardinal Financial. Now is the time to purchase a home. The market has definitely slid towards a buyers market. I’m sure things will change as we hit the spring market and interest rates start to drop. Buyers will start to flood back into the market and things will be a little more competitive. Give me a call today and lets find you a new home while the market is still at your advantage! Call Chris Simpson today 231-215-7229

Will 2023 Be a Better Year for Buyers?

According to many industry experts, 2023’s outlook for home buyers is the best it’s been for three years. Realtor.com’s chief economist Danielle Hale commented: “There will be more homes for sale, homes will likely take longer to sell, and buyers will not face the extreme competition that was commonplace over the past few years.” This means that, even if property prices don’t fall across the board, few buyers will be faced with the stress of a bidding war. Also, seller contingencies are back, so buyers won’t have to accept a home “as is”.

Prices may improve for new construction, too. This is because builders may attempt to recoup lost sales from 2022, when rising interest rates resulted in a surge of purchase contract cancellations. While mortgage interest rates are predicted to decline during 2023, reviving some buyers’ hopes for a return to affordability, nobody can predict this with any certainty. While Fannie Mae is predicting rates to fall to 6.1% to 6.5% by the end of the year, the Mortgage Bankers Association (MBA) forecasts a drop to 5.2%. However, both forecasters were off the mark last year, and future rate adjustments by the Federal Reserve could affect these numbers. Home price forecasts are similar. While some industry experts expect a rise in prices because of increased demand, others predict price drops of 20% and more. With these predictions in mind, industry gurus agree that attempting to “time the market” is generally a mistake as home values will most certainly be higher in 10 years and onward. Planning to buy your first home, move up or check out an investment property? Contact me for a mortgage pre-qualification, or to find out more about your options.

Chris Simpson
Nexes Realty Inc.
880 W. Broadway Ave
Muskegon, MI 49441