As we move into fall 2024, with much of the focus on the upcoming elections, the real estate market remains stable and balanced. After several years of a seller's market—characterized by low inventory, high demand, rising prices, and low interest rates—the current market feels slower by comparison. While sales volume is down, perhaps due to uncertainty around the elections, interest rates, and inflation, there are still plenty of buyers and sellers active in the market.
Inventory levels are increasing, meaning it’s taking longer to sell homes compared to recent months and years. As usual, higher-priced homes tend to have more months of supply. However, the current numbers are still far from the elevated levels we saw in the early 2000s.
Meanwhile, interest rates are finally easing. While we may not see the historic lows of the last several years again, many expect that these declining rates will encourage more buyers to re-enter the market. Experts predict a gradual decrease in rates, though without any drastic drops on the horizon.
What does this mean for buyers and sellers?
BUYERS - This is a good time to be buying. For the first time in years, there are a good number of homes for you to choose from. Prices are still high, but lower rates are starting to make them more affordable. And, you can lock in today’s prices before the competition heats up too much, and then refinance in a year or two to lower your payments if rates continue to come down. By contrast, if you wait for rates to come down more before you buy, you’ll likely be facing more competition which will drive prices higher.
SELLERS - As always, the best time to sell is when you need to sell to move where you want or need to move. Your situation may improve in the months to come, but it is hard to know for sure, and there are certainly lots of buyers looking for homes today.
If you’d like to know how these market conditions affect your individual situation, whether you’re thinking about buying, selling, or both, please give me a call. I would love to do a detailed analysis for you and help you craft a plan to get from where you are to where you want to be, in the timing that works for you!
A Deeper Look
Here is a look at how many months of inventory we currently have in the Colorado Springs area, by price range.
Here is a look at how the months of inventory, across all price ranges, compares with recent months.
Here is a snapshot of interest rates at the end of August.
And a look at how those rates compare with recent years and months...
If you have any questions about what these stats mean for you, please don't hesitate to reach out!
Tim Coen
(719) 337-3901
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