The Golden Hills Real Estate Market is on FIRE where multiple offers are now as common as foreclosures and short sales used to be. So what does this mean for buyers and sellers? Typically in a market with low inventory the seller will sell their home for more AND a buyer will pay more.
Does this mean then that a buyer shouldn't buy now? ABSOLUTELY NOT! With the current interest rates lingering around an all-time low it is absolutely still a fantastic time to buy real estate. While buyers may be paying higher than they wanted to if they have to compete in a multiple offer situation, what they save with the low interest rate will quickly make up for that over time.
Does this mean a seller should wait for inventory to drop even lower and home prices to rise even further? While this seems like a good option, there are many variables that make this kind of speculating just that - speculation. If a seller waits, they may also be waiting until we see an increase in interest rates which could cause the buyer pool to diminish. A "sure thing" today may not get sellers a speculated increase tomorrow. The decision to sell needs to be about more than just speculation and playing the market.
Nobody knows for sure what the interest rates are going to do tomorrow, so sellers and buyers need to look at their particular situations very carefully. If you'd like help in determining if it is the right time to buy or sell, please give me a call and we can talk about what is the right decision for you.