This week, Sarah and I had the opportunity to join several high-performing colleagues and private bankers at a JP Morgan luncheon in Lafayette. The topic: the softening marketplace, of course. With news that the FEDs are likely to raise interest rates again this calendar year, many of us in the room wanted to know if the "sky is falling" . . . ?
Because properties are no longer trading in just a few short weeks, it's essential to stay informed about the current trends and shifts that impact our investments and/or second homes. Doing so with friends over lunch made it more palatable to discuss the rising interest rates, and the higher cost to borrow. (Thank you Gigi and Rich for the invite.)
Over the past couple of years, the real estate market has been experiencing some noticeable changes. From the days of soaring prices and fierce bidding wars, we find ourselves entering a new phase—one characterized by increased inventory, longer lead times on the market, and more negotiating power for Buyers.
So, what exactly is causing this softening trend?
Now that we have a better understanding of the factors contributing to the softening marketplace, let's explore how we can navigate these changing tides.
Remember, a softening real estate marketplace doesn't necessarily mean "the sky is falling." Instead, it presents opportunities and challenges for both Buyers and Sellers. By staying informed, being patient, and working with experienced professionals, we can navigate these shifting tides and achieve your real estate goals.
As we move forward in this dynamic marketplace, it's important to embrace the changes and keep a positive outlook. Real estate has always been a long-term investment, and by adapting to the current trends, we can ensure a brighter and more secure future for ourselves and our families.
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Julie Gardner, has been writing The Perspective for 18 years and has published more than 750 humorous but always informative, essays on life and real estate.