Realtor.com Predicts MAJOR Price Drop in Spokane, WA in 2024

    The anticipation surrounding the real estate market often mirrors the hopes and dreams of potential homebuyers and sellers. In a recent development, Realtor.com has released its housing market predictions for 2024, unraveling a mixed bag of expectations for various cities. One city that stands out is Spokane, making waves with an intriguing forecast. In this blog post, we will delve into the details, exploring the current scenario, the predictions made by Realtor.com, and the potential implications for both buyers and sellers.   Current Market Dynamics As of the present moment, the real estate landscape is witnessing a notable shift. The speaker notes that interest rates have fallen below 7%, a phenomenon not observed in the past seven months. With conventional fixed-rate mortgage rates at 6.62% and FHA loans as low as 6.1%, there seems to be a favorable environment for potential homebuyers. The speaker emphasizes the importance of consulting with a lender to get accurate details.   Realtor.com's Predictions for Spokane Realtor.com has presented price predictions for the top 100 real estate markets in the United States. Spokane is notably absent from the list of the top 10 markets with the largest increases. However, it has claimed the third position in the list of markets with the largest decreases. The prediction is a substantial 10% year-over-year drop in housing prices for Spokane in 2024. This raises questions about the potential consequences for homeowners and the overall market.   Impact Analysis To understand the significance of a 10% drop, the speaker provides context by comparing it to the current average home price in Spokane, which is around $420,000. A 10% decrease would translate to a reduction of $42,000, bringing the average price to approximately $380,000. The speaker reflects on how this change aligns with the market's recent history and speculates on the factors driving these predictions.   Comparisons with Other Markets Realtor.com draws parallels with Austin, Texas, highlighting it as an example of a housing market that experienced significant price surges during the pandemic. Despite projected declines in 2023 and 2024, Austin's prices are expected to remain 29% above pre-pandemic levels. Spokane, too, is expected to face a similar situation with prices potentially staying well above pre-pandemic levels despite a projected 10% drop.   Considerations for Homeowners and Buyers The blog post explores the potential impact on different stakeholders. Homeowners who purchased between May 2021 and the present might face challenges if the predicted drop occurs. For buyers, the question arises: Is it wise to wait for a 10% price drop? The speaker shares insights into negotiating strategies in the current market, emphasizing the importance of considering factors beyond just the house price, such as interest rates and terms.   Red Fin's Mortgage Rate Predictions Red Fin's forecast on mortgage rates for 2024 is introduced, suggesting a gradual decline. The speaker discusses the potential implications of falling interest rates on buyer behavior and the overall market dynamics.   Increased Home Sales and Inventory Red Fin anticipates a significant increase in home sales in 2024, accompanied by additional inventory. Move-up buyers, motivated by lower mortgage rates, might contribute to this surge. The blog post discusses the potential consequences of this influx on the real estate market in Spokane.   In the grand scheme of things, the real estate narrative for Spokane in 2024 reads like a captivating story. It's not just about percentages and market trends; it's about the hopes, dreams, and decisions of the people making Spokane their home. As the rollercoaster of prices, rates, and choices unfolds, remember that your journey in the real estate world is more than a transaction—it's an exciting chapter in the story of your life. So, here's to navigating the twists and turns with enthusiasm and making the most of your real estate journey!

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Spokane Housing Market Update | November 2023

  In the ever-changing landscape of the housing market, staying informed is crucial for both buyers and sellers. Today, we delve into the Spokane real estate scene, breaking down the numbers to provide you with valuable insights. From median sales prices to inventory trends, we aim to equip you with the knowledge needed to navigate this dynamic market effectively.   Median Sales Price Fluctuations In October, the median sales price in Spokane experienced a nominal decrease, aligning with typical market fluctuations. A notable trend emerges when comparing data from 2022 to 2023, revealing more dramatic price changes over this period than in the past eight years. The current median price stands at $413,000, showing a 25% decrease from the previous month and a marginal drop of just under 1% year over year. Homebuyers who made purchases between March and September 2022 may witness a decrease in home value, potentially lasting one to two years.   Interest Rates and Market Dynamics Interest rates recently decreased, providing a positive shift from 8% to around 7.35%, with FHA and VA loans benefiting from rates around 6.8%. Despite favorable interest rates, home prices are not dropping significantly due to a scarcity of new listings. October saw 744 new listings, a 25% decline from the previous month. However, active inventory has risen to 1,334, up nearly 3.5% from last year.   Unsold Listings and Market Dynamics The number of unsold listings, those that expired without a sale, is a key indicator of market challenges. A surge in unsold listings, reaching levels not seen since 2017, suggests sellers may be pricing homes based on historical data, failing to adapt to the evolving market.   Days on Market and Pricing Strategies The average days on market is currently 21 days, but this varies across price ranges. Homes in the $300,000 to $399,000 range sell in just under three weeks, while those in the $400,000 to $499,000 range take longer. Sellers need to adjust pricing strategies, considering the current market dynamics to avoid prolonged listings.   Cash Sales and Affluent Buyers A notable shift is observed in cash sales, especially in the higher price brackets. Affluent buyers are opting to purchase homes with cash to avoid monthly liabilities, demonstrating a cautious approach to the economic climate.   Negotiation Leverage and Buyer's Market Some segments of the market are transitioning into a neutral or buyer's market, evidenced by an increasing inventory, particularly in the $500,000 to $750,000 range. Sellers may need to adjust their expectations, as buyers gain leverage with approximately six months of inventory in these price ranges.   Percent of List Price Received Homes in the $200,000 to $300,000 range are selling above asking price, while those in the $500,000 to $750,000 range are selling at approximately 99% of the asking price. Buyers may find opportunities for negotiation, especially for properties that have been on the market for an extended period.   In conclusion, the Spokane housing market is experiencing shifts in pricing, inventory, and buyer-seller dynamics. Both buyers and sellers should carefully consider the current trends and adapt their strategies accordingly. With transparency and proactive engagement, individuals can make informed decisions in this evolving real estate landscape. Whether you're contemplating a sale or on the lookout for your dream home, understanding these market nuances will be instrumental in achieving your real estate goals.

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September Housing Market Update: Are We On The Brink Of A Collapse?

  Is the Spokane Housing Market on the brink of a collapse? 🏚️📉 Let's dive into the latest stats, trends, and expert insights to find out! Don't miss out on the crucial info every homebuyer and seller needs to know! Join the conversation and stay ahead of the game in Spokane's real estate scene.

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