No, it’s not just your imagination. The real estate market continued on its hot streak even as the heat of summer gave way to the cool breezes of autumn.
According to the Wisconsin Real Estate Association, low inventories continued to drive up Wisconsin home prices in September even as overall sales fell 8.6% compared to a year ago. September marked the third straight month that home sales decreased relative to their levels last year.
However, despite the lower overall sales, prices increased 6.6% compared to a year ago. The tight inventories continue to provide a wonderful opportunity for home sellers to cash in, whether they are upgrading to new construction, downsizing, or moving to a new market due to the flexibility of remote work.
The terms for buyers are still favorable despite the price increase favoring sellers. Mortgage rates stayed under 3% for a fifth straight month, allowing borrowers to borrow more cheaply and potentially stretch their budgets. With affordability remaining steady over the course of 2021, qualified buyers with median family income have been able to avoid being priced out of the market.
Home sales are still 1.5% ahead of 2020’s record pace, with the low inventories unable to keep up with demand. This is somewhat disappointing coming on the heels of the first six months of 2021, where sales easily surpassed those of the first six months of 2020.
The bottom line is that home prices remain high even with demand showing some signs of leveling off amid a constrained supply of homes. Whether you are selling or buying, having an experienced realtor is a must to maximize your housing dollars.
Our team at Gail Rutkowski & Associates can answer your questions and show you the way. Contact us today to get started.