This month's market update may be deja vu for readers of our monthly update. The recurring market theme is high rates, lack of affordability, and huge inventory increases that have caused parts of the overall market to seize up. Showings are down in some neighborhoods and in certain price ranges. We will likely soon see prices fall.

Sellers must meticulously prepare their properties, plan for extended marketing time, and be prepared to engage in rate buy-down conversations to get the right buyer qualified and into their property. Relief may come in December with lower rates, but this will have an inverse impact on property prices. Rate cuts will not address affordability. Prices will have to decrease to make up for higher taxes, insurance rates, and carrying costs.

Buyers continue to seek relief from high acquisition costs. Believe it or not, this is a great time to purchase, as active inventory hits highs not observed in the last 5 years. We are getting back to a more normalized post-COVID market, and the next phase will be price discovery. Seller motivation will lead to softer pricing and more buyer concessions offered.

This may take some time, but with increasing inventory and sellers flush with equity, we will move to a buyer's market. Whether you are planning to invest, buy, or sell, working with an experienced advisor within our firm will help you take advantage of the best opportunity this changing market has to offer.