With the market correcting, interest rates rising, and a potential recession looming, there's good reason to be spooked, but let's give these scary circumstances a break for the week, and celebrate those who joyfully decorate their pets, kids and houses, in spite of market events that keep a few of us awake at night . . . .
Happy 700 issues to me! More than 17 years ago, I started emailing an out-of-area Buyer about our local marketplace. He wanted to know what houses were coming, what was currently on the market, and what homes had just sold and for how much. After several weeks of analysis and aggregation, I figured my efforts were worthy of sharing more broadly; and so, The Piedmont Perspective was born, AND because I'm a gal who is known to have an opinion (or two), the essays quickly followed suit. (If only I had written 700 Seinfeld episodes).
"Why scare Buyers?" the email said. "I've worked on Wall Street for 25 years and markets correct . . . " (Yes they do.)
For the record, "scaring" Buyers or Sellers is never my intention (speaking honestly and openly with them is).
Listen; everyone's entitled to their own opinion. In fact, I welcome friendly/courteous/respectful debate but if Realtors® (or stock brokers) had a crystal ball that could accurately project future market trends, there'd be NO debate, and this stuff would be easy (it's not).
"The interest rates have gone way up," my Buyers said. "We're not sure we can afford Piedmont/Oakland/Berkeley anymore. . . "
I hear you. The higher cost of money is a tough nut to swallow.
In all seriousness, if you feel your purchasing power has eroded significantly during the past few months, that's because it has. But for those Buyers choosing to sit it out on the assumption that the market is going to correct further still (it very well may), how's it going to feel when the Feds increase the rates again - as they are expected to do the next two times they meet - and suddenly, you can afford even less?
Julie Gardner, has been writing The Perspective for 18 years and has published more than 670 essays on life and real estate.