Real Estate Market Update: The Only Thing That is Up is the Stress

If you look at the real estate news, you would be SCARED! Headlines scream reasons to be afraid:

WOW!  Scary!!!!!!!!!!!!!!!!!

Yet, when you look at the data, it's .... approaching normal

Inventory: Finally its ALMOST 2020, still well below every year in history. Remember, you cannot have a crash without sellers selling on the cheap. If there is no inventory, that's hard to happen.

New listings; about the average of the past few years.

Under contract: sales down by 12%, but that's from the last few record years.

Sold; dropped by 33%, but this is right after a big run-up in interest rates that has since turned, stay tuned!

Off Market; the percentage of sales being sold off-market is climbing, which shows that sellers are not giving up on selling, they are just taking longer than before and deciding to reduce their price with great reluctance. Yet, the prices are not dropping, they are holding.

Yet, rates drop! We may have peaked as just over 6% in mid-June, and since they have come back to 5.5%. The press is, as I explained last week, a few weeks behind because they track the daily average, not the current price, which is both wrong and deceptive.

...and costs drop for building new homes. Lumber prices down by 21% this year. This will help home builders build new homes.

Are we NOW we are in recession? 

The business news is full of arguments about when we will have a recession, the end of the year or next year, or IF we'll have a recession. Yet, it is pretty obvious that we have already been through a recession. The definition of a recession is 2 consecutive quarters of declining Gross Domestic Product.

Now, we know that GDP declined in the 1st quarter this year, and hasn't this 2nd quarter already been worse or the same?

Maybe rates have peaked...

Maybe underlying inflation has stopped rocketing up and has stabilized around 6-8% and not shot out of control

What is NOW?????? Slower sales, yet values holding. 

If you are selling, you need to vet the buyer, get them to clear their conditions, and lock in their rate so you can close.

If you are buying, you have an opportunity with less competition than a year ago, so get your offer prepared, and make sure you can lock the loan you want when you clear your conditions.

How can I help you? Call, text, or email me.
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#probateattorney #probatesales #probaterealestate

I host two FREE Real Estate Zoom calls every week:

Real Estate Flipping / Investing Focused:
Tuesday 3PM Pacific Time
Link: https://www.eventbrite.com/e/so-cal-real-estate-investment-meetup-tickets-80900334077
Topic: So Cal Real Estate Investing Meetup
This group is for Landlords, Fix and Flip, Traditional and Non-traditional Real Estate Investing, as well as all Real Estate Service Providers (Agents, Title, Contractors, and more.),

Probate Focused:
Thursday 4PM Pacific Time
Link: https://www.eventbrite.com/e/how-to-get-your-first-sale-in-probate-real-estate-tickets-67396261031
Topic: How to Get a Sale NOW in Probate Real Estate

There are lots of programs that promise to help you sell a LOT of homes, but how do you get your 1st sale? As the baby boomer ages, the number of homes being passed on to heirs continues to increase. I'll share with you 11 different ways that I have generated a listing or buyer sale that do not cost you any money.