Phoenix real estate agent says housing market looks to be balancing out
PHOENIX – Phoenix is consistently ranked as one of the hottest housing markets in several reports, and has been for months, but experts say we’re starting to level out a bit. See the article : Workshop teaches students about food insecurity – The Suffolk News-Herald.
“There is no doubt that we are in a market shift,” says Somone Wilder, broker at Hague Partners
Most realtors and agents are beginning to notice the hot shift of the Phoenix housing market ever so lightly.
“In recent years, sellers have had a big advantage in the market, mainly because inventory was really low and interest rates were really great, which drew buyers to the market,” explains Wilder.
Home buyer Arya Chowdhury can confirm.
“It took me about 11 months to close my house, that was November 2021. It took that long because every time a house was offered I was interested. I even made an offer and then it was gone. Just disappeared” said Chowdhury.
We have already seen several rate hikes by the Federal Reserve this year. The last, 3 quarters percent in June, the biggest increase since 1994, with the ultimate goal of trying to curb inflation.
Mortgage rates are responding, according to a report from Zillow. Rates across the country are now an average of 5.78%. And a rise in mortgage rates means some players are being taken out of the game and homes on the market in Phoenix a little longer.
“What has happened is that there are more houses on the market, so now supply and demand are beginning to balance. Now that an equilibrium has begun to emerge, buyers and sellers now have equal influence when negotiating a deal for a house,” said Wilders.
As Chowdhury closes on her second home, she has advice for anyone trying to navigate a challenging housing market.
“Not just focusing on the present, but what it will look like in 5 years, in 10 years, and then consider that when you make such a big purchase,” she said.
MORE: Federal Reserve Chair Jerome Powell says rate hikes should be decided ‘meeting by meeting’