October Market Recap: A Game of Chicken

October lived up to its reputation this year, with a bit of a spooky housing market. Here’s what the data is showing and what it means if you’re thinking about buying or selling.

What the numbers are telling us

• Prices are up slightly. Home values are holding and even inching higher.
• Showings are way down. Fewer buyers are out touring homes than we’ve been seeing.
• Inventory is sneaking up. More homes are sitting on the market, which gives buyers more options.
• Foreclosures are ticking up. It’s a small increase, but one worth watching.

A game of chicken (or a waiting game)
Put those together and the market feels like a big game of chicken between buyers and sellers. Sellers don’t want to lower prices, buyers don’t want to overpay, and plenty of people on both sides are simply waiting to see who blinks first.

From what I’m seeing day to day, major life events are what get people moving: a new job, a relocation, or a home that no longer fits how they live. Those moves happen no matter what the headlines say.

Headlines vs. reality
Storylines tell part of the story, but they definitely influence the masses. Mortgage applications just hit their lowest level since 1996. The Fed held rates steady this month, which helped, but with where inflation is, I don’t think that will last long.

• Sellers: In a waiting-game market, the homes that sell are the ones priced right and presented well from day one.
• Buyers: Fewer showings and more inventory can mean less competition and more room to negotiate.

Questions about your situation?
Every neighborhood and every situation is different. If you have questions about your current market or housing situation, I am honored to be a resource. Reach out anytime.