It feels like things are changing every week in real estate. Like David Bowie told us years ago, real estate is going to have to “turn and face the strange changes.” Interest rates are changing and buyers are feeling it.
March 8th was the last day that mortgage interest rates were in the 3’s. The last day they were in the 4’s was April 7th. Since then, they have remained in the 5’s.
Higher interest rates mean higher payments. Buyers who qualified for a $500,000 house in March now qualify for a $420,000 house.
Sellers are also affected by higher rates. On April 23rd, we had a 3 bed/2 bath pool home on the market and it received 4 offers. In February, that home would’ve received 10-12 offers. In the last 2 months, 3 of our listings received one offer.
We’re in the moment where sellers are still getting very high numbers for their homes, but the number of offers they’re receiving is down compared to just 2 months ago.
If you’ve been thinking about selling and have been trying to time the market, now is the time. Your neighbors who chose this time to sell are shown on the other side of this card. They won – and we want you to win, too! Contact us today at 407-267-2319 to start the process.
