In today’s episode, we’re gonna be talking about housing market data. We’re gonna look at a lot of numbers, show where those numbers are taking us, and what the market is gonna look like in the next three quarters of the year.
Listen now to gain more insight into the market trends we’re seeing so you can plan and decide accordingly!
Key Talking Points of the Episode
[00:00] Introduction
[02:45] What numbers are we looking at?
[03:40] Mortgage rates
[05:00] What’s causing mortgage rates to go up?
[06:00] How is this affecting new listings?
[07:16] Should you take the first offer that comes?
[08:40] Numbers from Q1
[11:07] Comparing markets from 2020-2022
[15:03] Interest rates
[16:26] Pending sales
[18:26] Home sales
[21:33] Home buyer competition
[22:08] Contact REO Auction Academy!
[22:46] Part 2 introduction
[23:14] Predictions for 2023
[24:10] Market peak in 2022
[27:10] What micro factors affect the market?
[27:43] What are the most competitive markets today?
[29:36] What markets are going to get corrected first?
[32:05] Market predictions in Florida
[33:31] The Florida housing market today
[35:20] How can we help you learn about what we do?
[36:56] Number of homes for sale
[37:56] Zillow’s revised forecast
[39:37] Why is it important to stay on top of the market numbers?
[40:35] Why do you need to have multiple exit strategies?
[42:45] Why am I not holding properties?
Quotables
“Obviously, there’s a lagging effect that we can’t see yet. The numbers we’re looking at are based on lower interest rate numbers.”
“Rates lock 30-45 days and could go as far as 60 if you pay additional points. There are rate lock features so we’re probably looking at lower interest rates so we won’t see until May data comes out what the true market is.”
“Mortgage rates have obviously shot up here at 5.11% on a 30-year mortgage. This is the highest level on a 30-year mortgage since 2010.”
“That has put a lot of people on the sidelines and I can’t necessarily blame them because me, I’m trying to refinance a few things as well, that I’ve been working on so I’m maybe gonna wait as well for a month or two.”
“I do think that mortgage rates will come down. I think a lot of this is maybe driven by the Russia-Ukraine war that’s going on and a lot of the uncertainty in the world has pushed up the rates, and the value of the dollar decreasing.”
“Only an average of 3.3% of homes have a price drop.”
“Don’t necessarily jump the gun at the first offer that comes unless it’s great, it meets all terms, it meets what you want, and it’s a really good buyer.”
“Prices are really jumping so quickly and to me, it’s mind-boggling.”
“In general in the US, your biggest months are gonna be June, July, and August. May kinda comes in there too, but the start of the Spring season obviously is March, that’s when you start to really see things.”
“The average sale-to-list price ratio was 102%, so in other words, 2% above asking price.”
“This is kinda what I thought would happen and what I was worried about potentially happening to cool it off is potentially happening right now - the interest rates.”
“Since mid-February, it has taken off. This is almost a hockey stick, the way it’s going up.”
“I don’t think it’s gonna slow anytime soon. The mortgage rates are gonna cause it to bend a little bit but if mortgage rates drop again, this will continue to shoot up because people will be able to afford more.”
“Historically, the average interest rates in this country are 8%. So, we’re complaining about 5.11% right now, but if you go back 12 years ago, we’d have been super happy with 5.11%”
“One of the biggest drivers is inventory and that continues to be at all-time lows and continues to get lower, and with interest rates jumping up, it’s just causing less people to list, which is further reducing the inventory.”
“The numbers are just moving too quickly right now as far as lack of inventory and the home buyer demand is just far too high for this to slow down.”
