Interest Rate Commentary:
Interest rates are inching their way up, now sitting above the 4.5% mark. We have already had several buyers fall out of purchasing opportunity at the bottom of the market. Buyers that could purchase $210,000-225,000 are now either looking at renting or are only able to purchase a home for $180,000-195,000 for the same mortgage payment that they would have had 60 days ago at the higher price point. This same story will continue to play out across the varying price points over the next 6-12 months if the Fed keeps up with added hikes.
We have a 6.1% increase in housing inventory that has occurred in the North Texas real estate market since April 15th. Since April 15th, 1,298 additional homes have entered the housing market. Of that number, 702 homes are now active on the market (representing 54% of the 1,298). This is great for buyers looking for their next home. Keep in mind, more inventory doesn’t necessarily mean that the best homes will sit longer on the market. The best homes that are priced competitively will still get the most interest and likely will have multiple offers.
Don’t forget that tax protests are due by May 15th in most counties this year. If you requested tax comps from us, we will have them to you by this Friday. Please let us know if you need any additional resources.
Seychelle & team