What can local home buyers expect in 2023?

Brought to you by – Dan Griffin, Broker/Realtor, Compass Inc.

The last several months have been especially tough for home buyers, who've had to contend with rising interest rates and low inventory for much of 2022. However, it looks like the real estate market may be turning a corner in favor of buyers. In fact, according to Compass CEO Robert Reffkin, all signs are pointing toward a shift in the market for 2023.

Over the last month, there’s been a sharp increase in mortgage applications and buyers requesting to view homes. This renewed interest in purchasing property has led to more buyers putting in offers, proving that the market is changing. Sellers have also begun giving concessions to buyers upon closing rather than the other way around. In fact, in

Q4 of 2022, buyer concessions reached a 10-year high. This is great news for buyers as sellers have held all the power for the last two years.

GRIFFIN

So what does this mean if you want to purchase a home this year? Buyers are in a good position to negotiate now that the housing market has cooled off a little. Because of the ongoing low inventory, buyers can be confident that their new home will retain its value. Interest rates have also gone down slightly in the last few weeks. Even a small dip in rates translates to significant savings for home buyers. If you’ve been thinking about buying a home this year, it’s worth talking to a mortgage broker about your options. Overall, it looks like the buyers’ strike has ended and experts are feeling more optimistic about what that means for buyers in 2023.