January’s numbers are out and it’s looking like it could be a busy Spring if buyers aren’t too deterred by the latest hike in interest rates. The pace has picked up amid leveling mortgage rates, pent-up demand, and the forecast of increasing inventory at the start of the year. Rates had fallen to the low 6% range.
In Washington, pending sales reached the highest level since October and surged nearly 44% from December, according to the January report from Northwest MLS.
Here in the metro area, new listings decreased 16.0% from the 2,307 listed in January 2022, and increased 80.6% from the 1,073 listed in December 2022. But inventory is still LOW!
Home prices have plateaued and the rate of price increase has slowed, which is providing some relief and opportunity for buyers. That being said, inventory remains low and competition among buyers does still exist, more often for those homes priced at or below the median and in more desirable neighborhoods.
Pending sales decreased 22.6% from the 2,287 offers accepted in January 2022, and increased 46.8% from the 1,206 offers accepted in December 2022. Closed sales decreased 41.3% from the 1,853 closings in January 2022, and decreased 25.7% from the 1,464 closings in December 2022.
For sellers, it’s still a great time to list their home, but keep in mind it could take longer to sell as time on the market has increased.
For buyers, this is a good time to start considering getting into the market. If rates continue to climb, you might consider locking in and refinancing in a few years. With the
leveling of the market, it is now easier to avoid paying above list price and offsetting the additional cost of higher interest rates.
At Thoroughbred Real Estate Group, we’re committed to keeping you informed of local market conditions, as well as your real estate asset’s performance in current and future markets. Please don’t hesitate to contact us with questions. Together we can create an effective strategy based upon informed decisions to help you achieve your home buying or selling goals.