Is It Still a Good Time To Buy or Sell?

That is a question realtors are asked almost daily. The answer is not always clear cut. However, here is some information to hopefully help buyers and sellers make an educated decision for themselves.

Buyers

For buyers, of course the biggest questions are prices and interest rates.

There is consumer speculation (I call it water cooler talk) that prices will drop, interest rates will go down, and buyers should wait. Perfectly good rational, but if a buyer waits, home prices increase, and interest rates remain the same, they may not qualify for a new home later. In fact, approximately 35% of buyers that waited or were not able to secure a home in the last 2 years are not able to qualify for a home now. There is a saying in the real estate industry that buyers should “marry the house but only date the rate” since rates can be adjusted with refinancing down the road.

Rent prices for homes and apartments have also skyrocketed! Landlords have simply had to raise rents to keep up with taxes, insurance, maintenance, and upkeep of the properties and utility costs. The general consensus is it is usually a better financial move for a family to own than it is to rent. This is especially true when you consider tax benefits.

Bottom line: you need to review your personal situation and decide if buying or selling is a “want” or “need.” Then, you will be able to decide what is best for you.

Sellers

For sellers, the answer may seem a little clearer. Most real estate professionals say yes, now is a great time to sell! Currently in western Wisconsin, the economy is strong. There are a few more homes available for sale compared to this time last year. Regardless, the count of both single-family homes and single-family lots remains very low.

The National Association of REALTORS® (NAR) Chief Economist, Lawrence Yun, predicts the next five years will be strong for sellers. According to Yun, the market is expected to balance out anywhere from two to three years from now, meaning neither the seller nor buyer holds sway. Even so, well kept, properly priced homes will continue to sell at a brisk pace. 

Home prices have risen to near record levels in the last couple of years. The national average was about 3.5%, with that number even reaching higher in western Wisconsin. Most experts expect prices to level off, with a possible small decrease in values in the next couple of years. Still, this current market is much different from the 2008 to 2012 timeframe where prices plummeted. Sellers now have good equity in their homes, and money is readily available for qualified buyers.

Remember, your WESTconsin Realty agent is always available to help answer any questions you may have. Contact us today if you are thinking of buying or selling this year!

The Moes Sell Homes

WESTconsin Realty, LLC
121 E Meridian Dr
New Richmond WI 54017
(715) 781-0387

WESTconsin Realty, an affiliate of WESTconsin Credit Union, offers a low seller’s commission rate on qualifying properties and no administrative fees. Full-time, full-service real estate agents are located in each WESTconsin office area throughout western Wisconsin. Find more helpful articles at WESTconsinrealty.com.

The material in this article is provided for your informational purpose only and is not intended to substitute professional advice. If your property is currently listed with a Real Estate Broker, this article is not intended as a solicitation.