Real Estate Market Report - Sunday 10/6/24

Happy 1st weekend in October!  I hope my newsletter finds you having a GREAT weekend.

Today's Real Estate Market Report is short and to the point.  But I also want to include something EXTRA valuable to everyone!

So first and foremost, I want you to have the opportunity to read one of The TOP articles I have ever written to help support any/every Home Sale you will have in the future.

The Article appeared yesterday here on Linked-In, here's the link:  www.linkedin.com/pulse/sold-1032024-robert-c-dunn-estate-zane-petersen-limqc/?trackingId=UjALNkCfBkxJ%2Bi6721JivA%3D%3D

It is LONG, it took over 8 hours of my time to put together!  It contains over 24 years of education on 'How To Sell The Right Way' ...and for MAX Dollar, and I've tried ever to hard to make sure the reader understands why finding a Real Estate Marketing Expert is so essential to their next sale over just selecting any agent or even any Official REALTOR®.

Please reach out to me at zane@zanepetersen.com or text me to 763.843.2905 after you've read it if it's changed your understanding of Selling the next time you are ready.  I'd also be happy to meet with you to answer your real estate questions or if you'd just like to get together to network.  I guarantee I can help you with your business.

Interest Rate Update - For Sunday, October 6, 2024

Rates moved lower this week despite speculations that the FED's might not cut rates as aggressive as originally expected.  Rates dropped continuously this week from 9/30 and stayed stable through Friday.

• 15 Year Fixed = ~5.5%
• 30 Year Fixed = ~6.12% National Average
• FHA 30 Year Fixed = ~5.72%

The FEDs are scheduled to meet next on November 6th and 7th.

This Is the Sweet Spot Homebuyers Have Been Waiting For

After months of sitting on the sidelines, many homebuyers who were priced out by high mortgage rates and affordability challenges finally have an opportunity to make their move. With rates trending down, today’s market is a sweet spot for buyers—and it’s one that may not last long.

So, if you’ve put your own move on the back burner, here’s why maybe you shouldn’t delay your plans any longer.

As you weigh your options and decide if you should buy now or wait, ask yourself this: What do you think everyone else is going to do?

The truth is, if mortgage rates continue to ease, as experts project, more buyers will jump back into the market. A survey from Bankrate shows over half of homeowners would be motivated to buy this year if rates drop below

With rates already in the low 6% range, we’re not terribly far off from hitting that threshold. The bottom line is, that when they drop into the 5s, the number of buyers in the market is going to go up – and that means more competition for you.

That increased demand will likely push home prices up, which could potentially take away from some of the benefits you'd gain from a slightly lower interest rate. As Nadia Evangelou, Senior Economist and Director of Real Estate Research at the National Association of Realtors (NAR), explains:

“The downside of increased demand is that it puts upward pressure on home prices as multiple buyers compete for a limited number of homes. In markets with ongoing housing shortages, this price increase can offset some of the affordability gains from lower mortgage rates.”

So, while waiting to buy may seem like a smart move, it could backfire if rising prices outpace your savings from slightly lower rates.

What This Means for You

Right now, you’ve got the chance to get ahead of all of that. Today’s market is a buyer sweet spot. Why? Because a lot of other buyers are waiting – which means not as many people are actively looking for homes. That means less competition for you.

At the same time, affordability has already improved quite a bit. Recent easing in mortgage rates has made homeownership more accessible. As Mike Simonsen, Founder of Altos Research, says:

“Mortgage payments on the typical-price home are 7% lower than last year and are 13% lower than the peak in May 2024.”

And while the supply of homes for sale is still low, it's also higher than it’s been in years. According to Ralph McLaughlin, Senior Economist at Realtor.com:

“The number of homes actively for sale continues to be elevated compared with last year, growing by 35.8%, a 10th straight month of growth, and now sits at the highest since May 2020.”

This means you now have more options to choose from than you’ve had in quite a while.  With fewer buyers in the market, improving affordability, and more homes to choose from, you have the chance to find the right one before the competition heats up.

Why Waiting Could Cost You

If you’re waiting for the perfect time to buy, it’s important to understand that timing the market is nearly impossible. The longer you wait, the higher the risk that market conditions will shift—and not necessarily in your favor. As Greg McBride, Chief Financial Analyst at Bankrate, says:

“It’s one of those things where you should be careful what you wish for. A further drop in mortgage rates could bring a surge of demand that makes it tougher to actually buy a house.”

Bottom Line - For Today, Sunday, Oct. 6th:

Don’t wait until you have to deal with more competition and higher prices – you already have the chance to buy a home while we’re in the sweet spot today. Let’s connect to make sure you’re taking advantage of it.  Inventory is up, and some of the most gorgeous Homes are for sale right now, and each week we have lots of private sellers reaching out that are also selling their Homes Off-Market.

With rates SO low, Give me a call right now if you've time, I'd be happy to help get things going.  763.843.2905

Need To Sell Fast Right Now - And remember, if you need to buy or Sell fast, the last home we SOLD was two weeks ago, Listed in just 22 hours and SOLD in 5-days.

Need to Buy Quickly Right Now - The last home our Buyers purchased was found in just 2 days and their Offer was accepted the same day, including thousands of dollars in home furnishings.  They closed two weeks ago.

Life Changes - Over the past two months, we've been working with multiple Divorces and other Life changes.  Maybe your family has outgrown their home, maybe there is a little someone else on the way. 

Whatever your Life Change, know that I am here and have worked through some of the toughest court mediation cases, alongside some of the toughest attorneys, even worked with both couples that are separating.  I am able to help you, help get your home completed in order to get it on the Market FAST to accommodate any and every change in your Life. 

Again, a simple call to me will get us going this afternoon, IF you need.  You'd also be surprised at what 15-minutes of introduction will do to elevate your stresses when you meet with me.

I wish you a gorgeous Sunday afternoon, despite the wind.  Please reach out if you need anything at all or if you have any questions.

Zane Petersen Real Estate – Lake Minnetonka

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