A New Perspective on the Housing Market
The housing market in 2021 and part of 2022 was anything but normal. Mortgage rates were at all time lows and may never reach those levels again. Double-digit appreciation drove prices to new heights. Low inventories fueled by high buyer demand made multiple offers a normal expectation. As we look at the market snapshots provided […]
A New Perspective on the Housing Market
The housing market in 2021 and part of 2022 was anything but normal. Mortgage rates were at all time lows and may never reach those levels again. Double-digit appreciation drove prices to new heights. Low inventories fueled by high buyer demand made multiple offers a normal expectation. As we look at the market snapshots provided […]

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The housing market in 2021 and part of 2022 was anything but normal. Mortgage rates were at all time lows and may never reach those levels again. Double-digit appreciation drove prices to new heights. Low inventories fueled by high buyer demand made multiple offers a normal expectation.

As we look at the market snapshots provided by MLS in the various markets across the U.S., it appears that things may be returning to normal, but not necessarily in all areas. While there are more homes on the market now than a year ago, there are less sales due primarily to the doubling of mortgage rates in 2022.

Time on the market is lengthening but that can be explained by the removal of approximately 15 million homebuyers who now have affordability issues. When the market shifted, sellers expectations for what they thought their home is worth are not keeping pace with current conditions.

Some sellers who didn’t put their home on the market in 2021 and 2022 for whatever reason, remember the peak of the prices they could have sold their home for and now that they are ready, instead of looking at today’s prices, still expect to get the higher value.

Every experienced agent knows that all real estate is local and while you can look at trends on a national basis, it takes a knowledgeable professional to assess the local market, even on a neighborhood basis, to determine what a property will reasonably sell for currently.

A seller who has owned their home for several years is going to realize a good profit and return on their investment. If they are ready to sell in today’s market, that should be their focus and not on what might have been, had they sold at the recent high.

There is no way to predict when prices will achieve their high whether it is in stocks, bonds, commodities, or housing prices. It is only after it has hit the pinnacle and started retreating, that It can be identified.

Don’t be concerned about the market you missed regardless of whether you are a buyer or a seller. When real estate is viewed as a long-term investment, time takes care of things that can be incredibly stressful in the short term.

The average 30-year fixed-rate mortgage for the last 50 years is 7.76% according to the Freddie Mac PMMS survey. The current 6.60% is considerably below that benchmark and it appears to be trending lower. The current rate is what today’s buyer must pay to borrow.

Home prices have experienced 7.16% appreciation for the last fifty-five years according to the Federal Reserve Economic Data of the St. Louis Fed. Compared to the average inflation rate of 4.3% for the same period, homes provide a hedge against inflation and a significant contribution to personal net worth.

If you’re in the market to buy or sell, contact your real estate professional to find out what your market is doing and what options you have available.

LIST OF BLOGS

Courts of Fox Mill Homeowners Association

Historical Overview Origins and Development: The Fox Mill area, including the Courts of Fox Mill, began as a rural farmland before the mid-20th century. The transformation into a residential area was part of the post-World War II suburban boom. The specific...

Courts Cluster

Historical Context Fairfax County, named after Thomas Fairfax, 6th Lord Fairfax of Cameron, has a rich history that dates back to its establishment in 1742. The Courts Cluster, located centrally within the county, is named for its proximity to the Fairfax County...

Courts at Riverwind

History of The Courts at Riverwind The Courts at Riverwind is a residential community managed by Flannery Property Management, located in Centreville, Fairfax County, Virginia. While specific historical details about its establishment are not directly available from...

Courtland Park

Historical Background Early Settlement and Development: Fairfax County itself was established in 1742, but the specific area of Courtland Park developed much later. Originally, the land that Courtland Park occupies was part of the vast tracts owned by colonial...

Courtland at Rolling Oaks Homeowners Association

History of Courtland at Rolling Oaks HOA Fairfax County has a storied history dating back to its establishment in 1742, named after Thomas Fairfax, 6th Lord Fairfax of Cameron. The creation of communities like Courtland at Rolling Oaks is a more modern development,...

Courthouse Woods HOA

Historical Background The inception of Courthouse Woods HOA can be traced back to the broader development patterns in Fairfax County during the late 20th century, a period marked by suburban expansion around the nation's capital. Fairfax County has a rich history,...

Courthouse Station Homeowners Association

History of Courthouse Station HOA Fairfax County, established in 1742, has a rich history of community development, with neighborhoods like Courthouse Station emerging as part of its suburban growth. Courthouse Station likely developed during a period when Fairfax...

Courthouse Oaks Homeowners Association

History of Courthouse Oaks HOA: Courthouse Oaks HOA is nestled within Fairfax County, Virginia, an area with a rich history that dates back to its establishment in 1742. The community of Courthouse Oaks, however, represents a more recent chapter in Fairfax County's...

Courthouse Commons HOA

Historical Context Fairfax County, named after Thomas Fairfax, 6th Lord Fairfax of Cameron, has a rich historical tapestry beginning from its establishment in 1742. The area where Courthouse Commons now stands would have seen significant historical events, including...

Court of Chandon HOA

Historical Context Formation and Evolution: The Court of Chandon was established during a period when Fairfax County was rapidly expanding due to suburban sprawl influenced by the proximity to Washington D.C. The HOA likely came into existence in the late 20th...

RECENT POSTS

Courts Cluster

Historical Context Fairfax County, named after Thomas Fairfax, 6th Lord Fairfax of Cameron, has a...

Courts at Riverwind

History of The Courts at Riverwind The Courts at Riverwind is a residential community managed by...

Courtland Park

Historical Background Early Settlement and Development: Fairfax County itself was established in...

Courthouse Woods HOA

Historical Background The inception of Courthouse Woods HOA can be traced back to the broader...

Courthouse Commons HOA

Historical Context Fairfax County, named after Thomas Fairfax, 6th Lord Fairfax of Cameron, has a...

Court of Chandon HOA

Historical Context Formation and Evolution: The Court of Chandon was established during a period...

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