08 Jan August 2024 Housing Report
Each month the Minnesota Area Realtors puts out a housing report for the prior month! Matt, our broker, breaks them down and offers some insights on the report! Please check them out each month and reach out if you have questions!
The August Housing Report is hot off the press so let’s get to the update. Your snapshot is below, or you can find your blog and stats in their corresponding links.
As you will see in the blog, affordability continues to remain the culprit for the less than robust sales numbers, which I agree with to a certain degree. However, while the glass-half-full approach points to rates dipping as a favorable sign, the reaction has not played out as expected to date. Have rates dipped? Absolutely. Has traffic picked up on listings? A little, but buyers today are different. At this very moment (and this goes back to August as well), buyers are quite picky if their hand is not forced. In other words, unless you are fully updated AND an amazing price, buyers are choosing to hold. A longer discussion can be had on whether this is the right move or not and, in all reality, it very much depends on multiple variables. For now though, no matter what side of the equation you are on, I do not expect any buyer demand being “unleashed” as they put it until some point in 2025.
With that being our backdrop, let’s get to your tip of the month. Buyers out there, be cognizant of market timing and realize that a lower rate environment and a depressed buyer traffic period (present time through December) is a PRIME shopping opportunity. Sellers, be aggressive if need be, but also realize that you are marketing to a smaller pool than before meaning a wait and hold approach can be favorable if it makes sense. And if you happen to be both a buyer and a seller, now until the end of the year is hands down the most significant time frame for needing a strategic plan. Please DO NOT simply dive in headfirst.
No Comments