What You Need To Know About Our Market

Here’s what buyers and sellers need to know about our market.

If you aren't paying attention to the real estate market, you should be. Just like the stock market, the housing market can change on a dime, and it has. That’s why I want to share what’s happening in our local market and explain what it means for you. 

Since the pandemic, housing appreciation has been at an all-time high. Normally, homes in Houston appreciate somewhere between 2% and 4% every year. Over the last two years, the average home has appreciated by 12% to 34%, depending on location, condition, and other factors. 

This was fantastic news for homeowners, but this appreciation couldn’t last forever. Around June 1 of 2022, the market started to slow down. Interest rates increased to combat rising inflation, and buyers’ purchasing power decreased as a result. 

"Our market is balancing out."

Around 20% of buyers were priced out of the market due to rising interest rates and prices. Now, homes aren’t selling with 20 or 30 offers like they were before. Also, more homes are  coming onto the market every single day. The bottom line is that our market is beginning to normalize. We were in a hot seller’s market for two years; now, we’re approaching something more balanced. 

What does this mean for buyers and sellers? This is not the time to sit on the sideline and wait things out. Our market is still relatively good for both buyers and sellers. However, no one knows what our market will look like a month or two from now. 

If you have questions about today’s topic or anything else, please call or email me. I am always willing to help!

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