Most markets and industries are virtually unpredictable in our current times. As we move into 2023, millions of Americans have hope that both buyers and sellers of real estate will reap rewards and fairness in the market, as chaotic circumstances for many, begin to calm down.
According to Realtor.com:
“It’s going to be a tough year for homebuyers, home sellers, and the overall housing market,” says Realtor.com Chief Economist Danielle Hale. But “we’re going to take some steps toward a better balance between buyers and sellers.”
One bright spot for buyers will be the number of homes for sale, which has been hovering near crisis level and is finally expected to rise. But will that be enough to bring buyers back into the market?
Home prices and rental prices are expected to continue to increase this coming year, however it will be a more subtle slope than in 2021 or 2022. Some will sell their property at a discount if desperation becomes abundant. Others may choose to hold out and withstand market fluctuations in order to get the most bang for their buck.
The disparity between sellers and buyers depends on your perspective. Realtor.com continues:
Sellers don’t want to lower their asking prices too much after watching their neighbors make bank just a few months ago. And there are still too many people who want homes than there are available residences to go around.
“What buyers can afford to pay with mortgage rates as high as they are may not match what sellers are looking for,” says Hale.
Real Estate mogul Robert Kiyosaki is trying to warn us, again, with this tweet:
“2008 was great time to get rich. Everything went on sale. Borrowed millions of dollars buying real estate bargains. 2013 I published Rich Dads Prophecy predicting BIGGER crash coming. THAT CRASH is HERE. Millions will be wiped out. Pls do not be one of them. Time you get richer.”
The fed fund rates are predicted:
“By the end of 2023, financial market participants expect that the Fed will have increased the target Fed funds rate by 175 to 200 basis points from current levels. That would translate into 30-year and 15-year mortgage rates at roughly 8.50 and 7.70 percent,” says Robert Johnson of Bankrate.com.
There are many aspects of Real Estate to consider. Whether you are a seller, buyer, renter, agent, realtor, etc. You likely are affected by these inflationary times. Becoming recession-proof is a great idea. Thinking outside of the box is the way to do it.
PBD, Patrick Bet-David, explains further below:
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