As we review the real estate market in the last moments of 2022, we look ahead to the new year. But, the real picture of the future of real estate comes into clearer focus as we review the changes that had an impact on the year. Denver KDVR, in an article December 8, 2022, “ Nationally, firms disagree widely on what will happen to the U.S. housing market in the coming year. Locally, realtors and analysts think the Colorado housing market will keep rising in price, though to a smaller extent than the last two years.”
“Economists, mortgage firms, banks and real estate companies are across the board on whether the historically tight U.S. housing market will reverse course in the next year.”
REALTOR ASSOCIATION SOUTH METRO DENVER Market Statistics Report- November 2022
The year 2022 was still a strong sellers’ market that might be somewhat reversing as more opportunities arise for buyers, even with the rising interest rates. It is the appreciation value that has many buyers feeling happy about their investments, both recent and long term.
An insight from Colorado Hard Money Lender, “There is little doubt the housing market has reached a clear turning point. Buyer traffic has fallen off, inventories have risen, and sellers are increasingly reducing asking prices. The slowing is evident throughout the supply chain, with prices for lumber and other key building materials declining and mortgage lenders substantially reducing staff. While the housing market is turning, we do not expect the sector to endure a severe correction. Homeowners are sitting on a mountain of equity and mortgage underwriting has been far more cautious than in prior cycles, which means we are unlikely to see a repeat of the foreclosure crisis that occurred over a decade ago.”
Most recently, from Forbes” The Denver housing market is one of Colorado’s most active as the state capital is home to many employers and is one of the Mountain West’s largest cities. People also have been flocking to the Mile High City from more expensive cities in search of a cheaper cost of living and to work remotely in the Rocky Mountains.”
So, as the new year 2023 begins next week, it is a sure bet that the timing is right for you to consider to enter the real estate market, either residential or commercial. There may be a slight shift, but the long-term plan remains steady and reiterates the fact that this is an excellent time to jump in with both feet and enter the market. Here is a link to my calendar, let’s talk.
November 2022 Market Trends Report can be accessed here.
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