It’s not a good time to buy Part 1

Part 1.

I hear this a lot with buyers nervous about interest rates going up and the market cooling off. But let's dive into the data instead of all the panic and hysteria being spread across the internet. Here's what's really going on!

Ada County Market review as of 6/9/22

Active Listings in May 2022 = 2703 of those listings we had 803 that were "New construction". This is 4% more listings than May 2021 but 9% decrease in listings compared to April 2022.
Price - Median home prices in May 2022 was $535,000.00 which was only a 3% decrease from April 2022.
DOM - 24 Days on market in May 2021 vs. 14 Days on market in May 2022 which is 42% decrease year over year.
Median Sales Price - May 2021 was $500,000 - April 2022 was $569,000 - May 2022 $590,000
Home Sales in May 2021 = 1033 vs. April 2022 = 930 vs May 2022 = 512 which is a 45% decrease in sales year over year.
50% of the homes listed in Ada County are new construction.

Here is my interpretation of the above data and the trends I'm seeing in the last few weeks.

* Rising rates caused a sharp decline in sales last month but we saw NO decline in values.
* Fewer homes were on market
* Current homeowners with 2-3% rate on their current mortgage are less likely to make a lateral move with higher prices and higher rates.
* Less buyers in the market & Less sellers in the market

We are seeing a fair amount of "panic selling" with sellers who are wanting to get in on the last months of the sellers market. Although the window of the seller's market is shifting, we are still seeing homes sell quickly if priced right. With all that said, it's a really great time to sell. If you're looking to buy, I'd love to hear about your goals and how long you plan to hold the property to give you my best advice on timing. Reach out anytime if you want to chat about our changing market!