2024 Housing Market:
If you’re thinking about buying or selling a house right now and wondering about the real estate housing market, you’re not alone. The housing market has seen a lot of unusual trends in the past couple of years, so it makes sense you’d want the latest market update before you decide to buy or sell. The truth is, housing market predictions are about as reliable as weather forecasts. The real estate pros make their best predictions based on data, but no one can know what’s going to happen with 100% accuracy.
Average interest rates across the U.S. for both 30-year and 15-year fixed-rate mortgages began steadily going down in November 2023, and that trend continued into January 2024. Rates will likely keep going down throughout the rest of the year, especially since the Fed projected that it’ll lower the federal funds rate three times in 2024. So, what does that mean for the housing market? First, it means that buyer demand could increase in 2024 since more people will be able to afford a mortgage. It also means that, if you’re financially ready to buy a house, there’s no reason to wait around—since an increase in demand would also lead to an increase in home prices.
Regardless of the trends, the fundamental buying and selling principles remain the same. For buyers, it’s crucial to understand your budget and get pre-approved for a mortgage. Also, hire a reputable home inspector to ensure you aren’t surprised by any potential issues after purchase; I recommend bringing in a general contractor to price the items to help prove the costs.
For sellers, setting a realistic price is critical. Overpricing a home can be problematic. Your best time is when you put it on at the right price and have several interested parties. Ensure your home is in the best possible condition before listing, and consider hiring a home inspector before listing and correcting the items on the list.
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Tips for Buying in Today’s Housing Market
Start with a budget and stick with it. Even with a slight uptick in the number of homes for sale, buyers are still facing elevated prices and mortgage rates over 7%.
BUYERS: Instead of waiting for much lower prices, experts suggest buying a home based on your budget and needs. If you find a home you love in an area you love, and it also fits your budget, then chances are it might be right for you. However, if you make too many sacrifices just to get a house, you may end up with buyer’s remorse, potentially forcing you to offload the house.
Tips for Selling in Today’s Housing Market
Even though the market may still be tipped in your favor, it’s in your best interest to present your home in the best possible light. Not everyone has cash dedicated to renovations and repairs, but a little sweat equity can go a long way. The first step is to declutter, organize and clean. Even if your home is outdated, a clean space gives buyers a chance to envision the house’s potential.