GDP has dropped this quarter. What does this mean for the housing market?
Gross domestic product has decreased by 0.9% this quarter after falling 1.6% in the previous quarter. Many homeowners are concerned about how this will affect the value of their properties. Will it cause home prices to drop? The short answer is no. The number of home sales may have slightly decreased due to rising rates, but home prices are not as affected as you might think.
What does this mean for the housing market? This will depend on your goals. For home sellers, you have to understand that prices are now moving closer to pre-pandemic levels. Buyers are more sensitive to price and can afford to be pickier due to increasing inventory. Your home likely won’t receive multiple offers the way it would have a few months ago.
If you’re a homebuyer, there are more houses to choose from in the market. This means you can now make more strategic and better financial decisions depending on your situation.
Whether you’re a homebuyer or seller, there are still plenty of opportunities waiting for you. We may have entered a technical recession, but the housing market remains strong. Even with higher interest rates, you can still buy a home that meets your budget and still sell for top dollar.
If you have more questions about our market, feel free to call or email me. I’m happy to be your real estate resource!