For this week's column, we are returning to the wisdom and insight of Kay Bates, local real estate expert, on the current state of the local market...enjoy.
Cheers, JR
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What’s Really Going On
There is a lot to talk about! Let us dive in: keeping it Real, Interest Rates are higher than they have been in years and it is influencing Real Estate sales. The numbers do not lie, and we are seeing a small shift in the number of sales when comparing them to 2022. The actions of the Federal Reserve do affect the cost of borrowing and lending money, which also have a ripple effect on the housing market. And we are expecting another change next week.
I have stated before, I am committed to providing you with Local News relevant to where we live. Do not panic, do not listen to the National rumor mill, and for heaven’s sake do not try to second guess the Federal Reserve!
It is not all doom and gloom, there is great news on the horizon for first time home buyers. CalHFA (California Housing Finance Agency) plans to release a new program for California Home Buyers. The California Dream for All A revolving, “shared appreciation” loan program that provides loans for a down payment. This program will be available in April 2023 and has a lot of moving parts. For more detailed information, please contact your realtor.
Realistically, there are likely to be more increases by the Federal Reserve despite the recent two bank failures which has been unsettling to the financial market.
For home sales, days on the market has increased, however inventory is still low. I suggest thinking about your circumstances, what do you want, what do you need, what can you afford? I am not saying to ignore the prognostications and numbers, just put them in your personal perspective, look through your glasses and not everyone else’s.
If there are needs or opportunities for you with these changes, check it out, make informed decisions and do what is best for you.
I hope this helps your local and personal perspectives.
Sincerely, Kay Bates
