Real Estate Market Update: Record Prices, Shifting Dynamics & What It Means for You

Everyone keeps asking me: "How's the real estate market?" So here's your comprehensive update on what's really happening right now - record prices, sluggish sales, and a major shift that's coming.

Let me break down the key numbers and what they actually mean for you.

Record Prices

This past summer, the median sales price nationally hit $422,400. That's not a typo - that's the highest median home price we've ever recorded in American history. So if you've been hearing that prices are coming down dramatically, the data doesn't support that narrative yet.

Sluggish Sales

Here's where it gets interesting: despite those record prices, annual sales are stuck at just about 4 million transactions. That's one of the slowest paces we've seen since mortgage rates spiked back in 2022.

So we have high prices but low transaction volume. Why?

The Inventory Story

Inventory. It's the highest it's been in five years. After years of severe housing shortages where buyers were fighting over scraps, we finally have more homes on the market. This is giving buyers some actual breathing room and real options to choose from.

What's Coming: The Shift

With more homes on the market, basic supply and demand economics are kicking in. Price growth is cooling significantly. In fact, experts are predicting that small price declines could be right around the corner in many markets.

This doesn't mean a crash - let me be clear about that. We're talking about modest corrections after years of unsustainable appreciation, not 2008-style collapses.

Mortgage Rates Reality Check

Meanwhile, mortgage rates are hanging in the mid-6% range. And here's what you need to know: no one - not economists, not the Fed, not anyone credible - expects them to drop much lower anytime soon.

If you're waiting for 3% rates to come back, you're going to be waiting for years, if not decades.

The Strategic Window

Here's what this all adds up to: we're in a unique market moment.

You have:

More inventory to choose from than in years
Cooling price growth (potentially small declines)
Rates that are stable but not going much lower
Less competition than you'll face when rates eventually do drop
If you're sitting on the sidelines waiting for "perfect" market conditions, you're going to miss this window. Because when rates do eventually drop - even to 6% - millions of buyers will flood back into the market simultaneously.

Remember what I talked about before: when rates hit 6%, approximately 5.5 million more households suddenly qualify to buy. That means fierce competition, bidding wars, and rapidly rising prices again.

The Smart Play

The smart move is to navigate this market strategically right now, while you have options, leverage, and less competition.

Whether you're buying or selling, this market requires expertise. You need someone who understands the data, sees the trends, and can position you for success before the next surge.

Want to know how these national trends are playing out in your local market? Want to understand how to take advantage of current conditions before they shift?

DM me today and I'll show you exactly how to navigate this market smart - with a customized strategy for your specific situation.

I'm Steve Hise, and I'm your real estate guy - here to help you make informed, strategic decisions based on data, not emotions.

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