As a realtor, I've seen my fair share of market ups and downs, but 2024 is shaping to be a uniquely challenging year for buyers and sellers. Many of my clients are feeling stuck - buyers are grappling with affordability issues, while sellers are hesitant to give up their low mortgage rates. But it's not all doom and gloom! I'm seeing some encouraging signs that things might be starting to shift.
Federal Reserve Chair Powell's recent statement that the "time has come for policy to adjust" has sparked discussions about potential rate cuts. Market predictions suggest a high likelihood of a 0.25% rate cut on September 18th, with some speculation of a larger 0.50% cut.
Projections indicate a possible total 1% rate reduction by year-end, with further cuts anticipated through 2025. The Personal Consumption Expenditures Price index, a key inflation indicator, has slightly decreased, dropping to 2.8% from 2.9%.
Looking ahead, I'm cautiously optimistic. While rates are still high compared to what we saw during the pandemic, it's a move in the right direction. My advice to clients? If you're thinking of buying, start preparing now. Work on your credit score, save for a larger down payment, and get pre-approved. For sellers, consider making strategic upgrades to stand out in a market where buyers have become increasingly picky. And remember, whether you're buying or selling, working with a knowledgeable realtor can help you navigate these tricky waters. The market may be challenging, but with the right approach, opportunities can still be found.
Ready to work together? Let's chat over coffee. Email Wendy at [email protected] for an initial consultation.
Posted on September 05, 2024
