The stats from January indicate the most Buyer favorable environment we have seen in years. The median price in Davidson County saw its first meaning dip in recent memory. There has been some price fluctuation, but it’s been within a predictable range and in line with typical seasonal trends. The January Median Price drop is more significant. Days on market are way up in all counties, and Sale to List Price is down.
Summary: If you want a deal, now is the time to buy. We haven’t seen a market so favorable to buyers is years, and we believe there is a limited window of time to take advantage of this. Other economic factors suggest that the Market could reignite this summer. Among other things, we may see Mortgage rates dip back into the 4s, and if that happens, we expect an increase in buyer demand that jerks the system back into a Seller favorable environment, leading to the return of multiple offer situation, paying over list price, and potentially waiving contingencies. It may feel tempting to wait until the lower rate, but now is the time when buyers have leverage. That leverage can be used to negotiate the seller paying for you to have a lower rate. And, if rates do drop dramatically, some lenders are offering a reduced rate refinance, so you could buy now at a lower sale price, and refinance later to get a lower rate as well. If you would like to talk through what would make sense if your situation, or know someone who would benefit from some guidance, please let us know.