Sellers in the South, West Regions Cut Prices
As the inventory of homes for sale continues to rise, over 30% of the 100 largest metro markets are reporting annual price reductions. Last month's housing inventory rose to 29% year-over-year, according to data provided by ICE Mortgage Technology. Most of the inventory growth was created by slowing sales volume, although more sellers are returning to the market as well.
Would-be buyers in the South and West regions may have more opportunities, especially those in Texas and Florida. Cape Coral, Florida prices are down by over 9%, while sellers in IT hub Austin, Texas are reducing asking prices. Seven out of the 10 major California markets are also seeing price reductions. However, sellers in the Northeast and Midwest regions continue to profit from steadily rising prices.1
Buyers, Sellers Duke It Out
Summer real estate sales are proving to be unpredictable as buyers and sellers alike have some aces up their sleeves. It's not yet clear who will gain the upper hand.
Sellers with low mortgage rates have decided to be patient and offer minimal price cuts. However, this doesn't mean that buyers aren't profiting from rising inventory levels. Last month, inventory was up 28.9% year-over-year, with active listings above 1 million nationally. In addition, buyers seem to be waiting for home prices or mortgage rates to drop, as evidenced by the sluggish home sales numbers this spring.
A recent report from real estate data provider ATTOM found that sellers that stick to their preferred home prices may evolve into landlords. Research found that areas where inventory has risen the most also tend to have more failed listings, which are often converted into rentals.2
More Buyers Rely on National Bank of Parents
A recent real estate survey found that over 20% of buyers aged 21 to 44 used a cash gift from family members to fund a down payment. Around 11% of these buyers relied on inherited funds. Generation Zers and Millennials also incorporated other strategies to save for their first home purchase. Around 18% moved in with family or friends to cut expenses, so they could save a down payment faster.
If you're working with prospects who are curious about using gift funds to buy, feel free to pass my contact details on to them. I can introduce them to the types of loans that allow gift funds and even introduce them to other types of down payment assistance.3
Impress Prospects with LinkedIn Premium
If you or your office has set up a subscription for LinkedIn Premium, you'll want to check out the profile features. These include access to LinkedIn Learning, direct messaging, an expanded "who's viewed your profile," and more.
Here are three features you may have overlooked. They can make a huge difference in your profile's effectiveness. Just choose which ones work best with your personal strategy.
Services Showcase: this is connected to your profile and enables you to create a detailed introduction. Visitors will see your top talents, niche specialties, reviews, and photos. Think of your Showcase as a mini resume.
Featured: Elevate sections of your LinkedIn profile by adding them to the Featured section. These can be your specialist certifications, recommendations, skills, education, and honors and awards you've taken home.
Scrolling/Dynamic Cover Images: Upload up to five LinkedIn banners at the top of your page. These provide a moving panorama of your listings, talents, top reviews...it's up to you. Check out this LinkedIn profile to see some dynamic cover images at work.4
Specialized Therapy's Waiting for You Online...and It's Free
Retired real estate broker Jay Thompson understands. That's why he created a custom online chatbot called The Real Estate Therapist. Just log in with your ChatGPT account (both free and paid versions work) and you have an AI-powered shoulder to cry on.
While Thompson stresses that this chatbot isn't a genuine therapist, it's still a place to vent about the day's problems. Did a buyer max out their credit cards three days before closing? Did a seller "forget" about some property liens? Did your last Open House draw five visitors, including four neighbors? It's time to visit the Real Estate Therapist.
You can do more than vent about a blown deal. Since The Real Estate Therapist is powered by ChatGPT, you can ask for assistance with writing firm-but-kind messages to boundary-pushing clients. Jay has also added "burnout coaching" to the app.
You can try it for yourself at RealEstateTherapist.net. All you need is a ChatGPT account.5
Sources: 1cnbc.com, 2realestatenews.com, 3redfin.com, 4linkedin.com, 5realestatenews.com
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