REALTORs, are often asked questions about the real estate market at social gatherings. Common ones include: When are mortgage rates going to come down? Is it still competitive to buy a house? Is it a good time to sell? How hard is it to get insurance right now?
Realtors love these questions because it shows that they a trusted resource for friends and family when they’re considering making a move. Lately, REALTORs been hearing these four questions more frequently, so we thought we’d take a moment to answer them.
When are mortgage rates going to come down?
Unfortunately, REALTOR’s don’t have a crystal ball, so they can’t say for sure. they would love to be able to tell clients exactly what will happen with mortgage rates in 6 months! What they do know is that the pandemic-era mortgage rates of 2-3% are unlikely to return—economists have called them a “once-in-a-lifetime opportunity.” Even with rates at 6-7%, there are still plenty of opportunities for homeowners who have built equity and are looking to move to a new space. The important thing in that scenario is to reach out to them so you can work with a lender and see what the numbers pencil out to be.
Is it still competitive to buy a house?
It really depends. Where are you looking to buy? Is it a popular area? Are you shopping in an entry-level price range? A well-priced, turnkey home in a desirable neighborhood will likely attract competition. But that’s okay! Part of a REALTOR’s role is to help you stand out as a buyer, structure a strong offer, and present you in the best possible light to sellers and their agents.
Is it a good time to sell?
Yes! California has notoriously low inventory, which means there’s always demand for homes. Whether your property is remodeled or needs some work, there’s a buyer for almost every home. If you’ve been thinking about selling, now could be the perfect time to make a move.
How hard is it to get insurance right now?
The insurance market has been tricky for a while. Even before the wildfires, premiums were rising, and we were advising buyers to start shopping for coverage early. My advice? Start the process early, review your options thoroughly, and make sure you fully understand your coverage limits.
Have other questions that weren’t covered here? Send them my way! I love talking about real estate and helping my clients buy and sell with confidence.
