If you’re in real estate, you’re probably seeing offers come in below the asking prices for homes that would’ve been sold quickly only a year or two ago. Just in the Denver market alone, real estate agents are noticing that houses that typically flew off the market now need open houses to sell.
More than that, they’re seeing houses stay on the market a little longer. According to Zillow, the national average time to sell a home is 68 days. Some markets sell homes faster. Yet, since 2019, three of the hottest markets — San Jose, Seattle, and Portland — have seen time to sell increase.
Why?
There’s a slowdown in the real estate market.
There are a number of reasons why the real estate market is slowing. Discover why, where it’s hit the worst, and what you can do to thrive in a slowdown.
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Is there good news?
Sure! In real estate, there’s usually some good news. For one, experts don’t believe it the real estate market will crash as it did in 2008.
Moreover, housing prices are becoming more affordable and inventory is finally increasing. For those buyers who’ve been dragging their feet in buying a house, now is the perfect time for them to do so.
Politicians are calling on the Fed to lower interest rates, worried the U.S. economy itself is slowing. And that pressure is coming from the top; President Trump and his cabinet have been asking for lower interest rates. Where that once was considered a fringe view, more economists believe lowering the rates could help; lowering interest rates can restart the economy to grow more dramatically. When the economy is booming, the real estate and stock markets are improving.
Besides possible fed rate cuts and more inventory, you may be able to slow your pace down! Running from one house and client to another is great for business, but puts a strain on your mental and physical health. It does mean you’ll need more marketing to drive sales, but you’ve done that before.
Anyway, it’s not all bad news. There are places where the market is actually good.
Where is the market good?
In real estate, there’s usually some good news. Realtor.com indicates there are still a number of places where real estate is strong and a few reasons. In many of the following markets, real estate is undervalued with an uptick in the economy.
- Lakeland, Florida
- Grand Rapids, Michigan
- El Paso, Texas
- Chattanooga, Tennessee
- Phoenix, Arizona
- Bridgeport, Connecticut
- Las Vegas, Nevada
- Boise, Idaho
- Miami, Florida
- Boston, Massachusetts
Real estate summary
If you’re a real estate agent, you have the stamina it takes to survive. Whatever slowdown there is, we’re with you to help ensure you’re taking steps to remain profitable. After all, we make real estate marketing real easy.