The Real Estate Doomsday –Fact or Fiction?

You may believe that rising interest rates are causing the real estate market to crash, which is understandable. But will it happen? Exactly how does the inventory appear? We’ll address all of this in the post we’re publishing today Additionally, we will compare data from four years ago with that from last year

Wait, why 4 years ago? You might be thinking. However, rest assured that it will show whether or not real estate is nearing its end. We’ll also talk about what this means for the market’s future and the three most significant blunders you should never make before purchasing a home this quarter

Is It Happening?

In simple words, no! The market is not headed towards a crash, but it is also not as simple as that. Even though interest rates are rising, which we are sure you are most concerned about, they are still within the expected range. The reason is that the 50-year average interest rate is 7.2%. So, the increase in the interest rate shouldn’t worry you too much. More on this will be explained below Why there is no need for concern:

■ The 50-year average interest rate is 7.2%.

■ Inventories are not as expensive, so there is no risk of a market crash.

■ Rates will range from mid to high 4% in 2023’s first and fourth quarters.

Compared To Last Year

Now is the time to examine the real estate statistics for WA Real Estate and see how they differ from those from the previous year Sales are down, inventory is up, and prices are also down.

■ Home sales increased by 105% on average.

■ The number of listings sold was down by 1.8%.

■ The number of homes under contract was down by 17.5%.

■ Sold price vs. the original price was down by 16%.

Compared To 4 Years Ago

■ The average number of homes for sale is down by 22.4%.

■ The number of listings sold is down by 1%.

■ The number of homes under contract was down by 3%.

■ Sold price vs. the original price is up by 01%.

The housing market was still strong despite a slight decline from August 2019. Despite a decline in the number of homes for sale in WA, prices increased slightly. The beginning of a recovery in home sales is encouraging. We’ll monitor the housing market in the upcoming months to see if these trends persist.