What’s Up with Real Estate?
National news and local views for the week ending Friday, October 6, 2023
Statistically, this is the best week to buy a home (sellers more open to negotitation + less buyer competition). Practically, it feels very different, with mortgage rates and prices continuing to move higher. If you’re looking to buy or sell, the key is to do your research and have a plan. I’d love to help you with both!
National Real Estate News
Spooked by high prices?
As Halloween approaches, homebuyers are facing mortgage rates at 23-year highs and record home prices. But don’t be scared off! If you’re dreaming of a new home this autumn, I can help you find and finance a boo-tiful one! Remember: the spooky season is also the beginning of the fall/winter slowdown, when homesellers are often more willing to negotiate on listings that didn’t sell during the summer.
Job market loosens up
ADP (green line in the graph above) reported that private employers added just 89,000 jobs in September. That’s the smallest increase since January 2021. Will the important Bureau of Labor Statistics jobs figure (orange line) follow it lower? The Fed wants lower inflation and a looser job market before it can declare ‘mission accomplished’. So far, it’s only (partially) achieved the former.
Another week
Another 23-year high for mortgage rates. If rates stay this high, we’re going to see a big decrease in transactions in both the existing and new home market. Last week, the Mortgage Bankers Association reported that new purchase mortgage activity fell to levels not seen since 1995! While there will certainly be a seasonal dip in home prices, demand still far outweighs supply.
Local Market Trends
As of Friday, October 6, 2023
| Area | Median Price | Active Listings | New Listings – 5 days | Median Days on Market |
|---|---|---|---|---|
| Clearfield, UT |
$485,000
0%
|
75
-0.4%
|
6 |
53
0.2%
|
| Farmington, UT |
$683,900
0.1%
|
52
0%
|
6 |
44
0%
|
| Layton, UT |
$614,950
0.1%
|
104
0%
|
5 |
43
-0.1%
|
| Syracuse, UT |
$575,450
0%
|
118
0.2%
|
13 |
39
-0.2%
|
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) from Sep. to Oct. 2023..png)
