The Second Quarter Real Estate Stats are in and the two major factors, high interest rates and low inventory, are still in a tug-a-war to define the market. Just looking at homes that went into contract during Q2 we see a 50% reduction in single family homes sold in central Contra Costa County from 2021 which was the high mark. Looking through the typical supply and demand lens, we might assume that prices would be going up. But the rise in interest rates and, to a lesser extent, insurance costs have squelched the demand that we saw in the previous few years. One other factor at play in the lower demand is that 2021 /2022 oversold the market and there are just fewer “age and stage” buyers in 2023 and 2024 to make purchases, particularly buyers who might be shopping in Q2 and timing purchases around a school year.
We are seeing, like in all markets, well prepared homes are still selling in shorter amounts of time, sometimes over asking, and with multiple offers. Homes that are not move-in ready can sometimes take longer to sell and we are seeing below list price offers as well as seller concessions.
If you find yourself with the exciting need to buy or sell, call us and we will help you navigate your journey. As always check out our podcast, “The Real Story with Adam and Sherry” on iTunes, Spotify, and YouTube Music.
