You’ve probably been hearing about rising interest rates. And perhaps you’ve heard they are affecting the real estate market.In reality the numbers tell us that home sales are still strong in our region. Activity has slowed as it always does in the fall, but is similar to last year in terms of sales. People are still moving for reasons unrelated to interest rates – upgrading, downsizing, relocating, own vs. rent, marriage, divorce, etc. And for the 20% of buyers who use cash, the interest rate has no effect at all.
Interest rates do have an effect on affordability. Higher rates may delay first-time home purchases or lead them to purchase less-expensive homes. In our area, we are still seeing strong demand and low inventory of affordable homes.
If you’ve been thinking of selling your home it’s still a great time to take advantage of the buyer’s market for homes under $400,000. Contact us for a free home valuation.