To say the housing market in the first 3 quarters of 2021 was on fire would be an under statement. With residential homes for sale getting multiple offers in the first 24 hours and getting anywhere from $30,000-$60,000 over list price, it’s no wonder sellers were eager to put their house on the market. But lately it has been a lot quieter in the market. Sellers aren’t getting as many showings which is causing homes to sit on the market longer. With interest rates still at a record low are sellers starting to have second thoughts on putting their home on the market?
Below is a few reasons why the housing market is slowing down a little bit.
Historically in mid August once school starts is when the real estate market tends to slow down. There’s a big push in the summer so buyers can be settled in by the time their kids start school.
You’ll also see a slowdown in the real estate market once the holidays roll around. With as time consuming as the holidays can be a lot of the buyers put off the house hunting until after the 1st of the year.
With how competitive the market was over the summer a good amount of the buyers out there were sick of going through the rat race so decided to take a break hoping these calm down a little bit after the holidays.
The real estate market was so competitive that it drove prices through the roof making some area’s not affordable to first time home buyers. Although the low interest rates help this. Many buyers are fearful that they will not be able to get their money back if they decide to sell in 3-5 years.