Mid Year Real Estate Update 2023

Dated: July 29 2023

Views: 150

As the housing market continues to “catch its breathe” from two extremely fast-paced years, Homes are still selling quickly.  If a home is priced for condition, it will sell in less than two weeks.  With record setting volume of homes sold from the second half of 2020 to first half of 2022, less homes are selling today.  While there is very much a decrease in the volume of homes sold, there has not been a significant decrease in the pace of homes selling or in home prices.  In fact, there continues to be more homes in escrow than available for sale. 

I am not printing as many market updates because there are not as many people making a move. However, I am still very busy with my clients. Seller clients are planning to make a move in the next few years and are waiting for various life events or economic settling to be more certain about a move. Buyer clients are being more patient today and waiting for the right home as the Affordability of homes is at an all time High.  Buyers look at a lot more homes today and often multiple showings for one home before making an offer-- to ensure they love the home.   

An interesting Statistic one of my lender partners shared is that ONE Million Buyers will re-enter the Home Buying Process when rates come down 1%.  This means that if rates come down from the 7% average being quoted today to 6% mortgage rates, it will be more competitive for Buyers.  Looking at Seller Motivation, most sellers are not likely to feel compelled to enter the market until rates drop below 5%.  This is supported by the fact that about 90% of mortgages in CA have a locked mortgage rate of 5% or less.  While Buyer demand is forecasted to increase with any decline in mortgage rates, supply is not expected to increase.  This will lead to a Hyper Competitive Market for Buyers. 

The “Needs Based” real estate market continues as Sellers primarily list their home today for the following reasons:  needing to downsize, need to move after accepting a new job, need to sell because of another life event happening.  If you know anyone that needs assistance, Please Let Me Know!

Blog author image

Pamela Hansen

Specializing as a listing and buyer’s agent in South Orange County, Pamela is passionate about increasing her Client’s Net Worth through homeownership. Pamela provides quality service to her clien....

Latest Blog Posts

Optimism for the 2024 Housing Market

If you’re thinking about buying or selling a home soon, you probably want to know what you can expect from the housing market in 2024. In 2023, higher mortgage rates, confusion over home price

Read More

Mid Year Real Estate Update 2023

As the housing market continues to “catch its breathe” from two extremely fast-paced years, Homes are still selling quickly.  If a home is priced for condition, it will sell in less

Read More

Is Now the Right Time to BUY a House?

I am asked this question a lot, and my answer is the same each time.  “It depends on your personal situation to decide if it is a Good Time for You to Buy.”  The three primary

Read More

Three Steps to Take Now as a Homeowner

Before the busy Spring arrives, now is a great time to put your attention on your largest investment, your Home.  STEP #1De-Clutter: Spring will be here soon and no time like the present

Read More