Early Fall Market Update with Cody Hoelscher
You may think fall is still a month away, but realistically buyers and sellers getting into the market now will likely be closing early to mid September, or even October depending on the number of weeks it takes to secure an accepted offer. It's not as far off as you think and what should you expect heading into this fall market.
Let's start out on the buying side of things! It's been a crazy market these past few months and overall for the past few years. There has been a lot of competition. The good news for you is that the fall time is typically slower than the summer months. Many people in the midwest prefer to move during the warmer months, the weather is nicer and kids are out of school. As we move into fall, typically we see less competition on homes.
You still need to bring your "A-Game" when writing an offer, especially if it's known to be competitive. In the summer you may have 5+ offers on a property, whereas in the fall you may see 2,3,4 max, depending on the property.
As a buyer it is advantageous to buy during the fall or even heading into the winter, then it is during the summer, in terms of competition. BUT the downside is there is less inventory to chose from. As we head into fall we see that inventory start to shrink. So there is going to be less to choose from, but there is going to be less competition on those homes that are out there.
On the listing side of that, you may be thinking, well wouldn't I want to sell during the summer, when the market is saturated with the most amount of buyers?
It depends! Regardless on the season you list your home in, we are still in a seller's market. If you properly price your home and it's relatively move-in ready, it is probably going to sell quickly and depending on the price-point, above asking price.
Which brings up another important point, if you got a pre-approval in the spring when the interest rates were lower, it's a good idea to touch base with your lender and see how the change in interest rate may have effected your monthly payment at different price points.
How have the interest rates effected the market?
- Below $250K - most homes in this price range are still very competitive and are selling above the asking price.
- Above $300K - that market has slowed down, depending on the property, homes that used to sell within 3-4 days may be on the market for a few weeks or longer, and they may sell at asking price or slightly below.
Of course there are exceptions to that, as there are in all things. It doesn't mean it's bad to sell at that upper price point, it still is a seller's market, but understand it's not as much of a "buyers blitz" as it was 2 years ago.
If you have questions or want to connect, feel free to reach out below. I'd be happy to help!