Unapologetic

Well, the Fed did it again—they raised interest rates. These rate hikes continue to squeeze buyers’ budgets and the uncertainty that follows causes others to take a wait-and-see approach.

My Observations

As interest rates have risen since spring, I’ve watched sellers lower their prices and days on market increase.

We're moving away from a pure seller's market; however, sellers have a slight advantage because the supply of homes is so low. Buyers and sellers are negotiating on price, terms, and inspection repairs.

The number of new listings has been declining since interest rates began rising. This tells me sellers may not want to list their homes and trade their low-interest-rate mortgages for something higher.

Sellers who price their homes based on peak-market activity end up overpricing them. These properties eventually sell after price adjustments.

Despite the current economic environment, there are engaged buyers out there. Our market continues to be strong from a historical perspective.