Why Home Buyers Shouldn't Wait

Zillow just shared a great article diving into the facts and future of housing affordability. Yes, interest rates are high, but 1. what if they go up? and 2. refinance is always an option when they come back down.

There are big opportunities for Buyers jumping in right now - for the first time in years Buyers are negotiating on price, inspection repairs, and have the opportunity for Seller credits towards closing costs and rate buy downs.

If you are waiting for the market to crash, take a look at the facts below.

Fewer new listings are coming to the market. Why? Homeowners feel 'locked in' at their current homes. With mortgage rates at a 20 year high, 90% of current mortgages have less than 6% interest rates. Some Sellers would like to move up but are priced out, those who could downsize are realizing that their house at 3.5% may have a lower monthly mortgage than even a smaller house at 6.5%.

More Buyers are entering the market. Over the next four years we'll see the largest portion of our population go through 'peak first time home buying' season. Already in 2022, the percent of First Time Home Buyers has increased by 8% compared to last year. Thanks to the softening of the market, first timers are no longer competing with cash offers over asking, large down payments, and seasoned buyers.

What is the true cost of waiting to buy? 78% - yes, almost ALL prospective buyers told Zillow in a recent survey that they would ramp up their home search if interest rates dropped below 4.5%. IF that were to happen, do you want to compete with them in multiple offer situations (again)?

Top housing economists and experts project 2-4% growth in housing prices each year through 2026. What if housing prices don’t crash? How much is rent costing you while waiting for the ‘right’ home buying conditions? How much equity are you missing out on by not investing in real estate today?

Questions? Let's talk more!

[Click each graph above for source and details]

As always, thanks for being here!

- Lindsey

So you want to move to Orlando?

Are you thinking about moving to sunny, central Florida? If so, you're not alone! Many people vacation here every year and think the same thing! Here are a few reasons why Orlando just might be the perfect place for you and your family.

Reason #1: The Economy is Booming

Orlando is one of the fastest-growing cities in the United States, thanks in large part to a booming economy. Jobs are plentiful in a variety of industries, including tourism, healthcare, and technology. And with its low cost of living and no state income tax, Orlando is an affordable place to live.

Reason #2: The Beaches are Amazing

Orlando may be inland, but the city is surrounded by world-famous beaches, many within a two hour drive. And with year-round warm weather, you can enjoy the beach any time of year!

Reason #3: There's So Much to Do!

Disney World, Universal, Epcot, SeaWorld... all well known attractions, but the city is constantly adding new parks to the list. Have you heard about the Peppa Pig theme park? And if you prefer to adventure outside the crowds, there are tons of trails for hiking and biking, natural springs for exploring and plenty of lakes for boating and fishing.

Reason #4: It's Family Friendly

Orlando is a great place to raise a family. In addition to its many attractions and parks, the city also offers excellent public schools and safe neighborhoods. We've enjoyed taking our kiddos to the farmer's markets, playgrounds, holiday festivities, Orlando Science Center, the zoo, trampoline parks, and more. Families will love calling Orlando home!

Reason #5: Big City Amenities with a Small Town Feel

If you're looking for all the fun of a big city but the small town feel, you'll be surprised to find it in central Florida! If you choose to live in a suburb to the north, east or west of downtown Orlando, you won't 'feel' the tourist traffic, but instead, it's likely you'll run into a neighbor or work colleague at the grocery store! Orlando has great shopping, dining and entertainment events (think Magic Basketball, Solar Bears Hockey and a variety of big name bands, musicians and comedians every weekend).

As you can see, there are plenty of reasons to move to Orlando! Whether you're looking for job opportunities, amazing beaches, or family-friendly activities, you'll find it all in this beautiful Florida city. Come see for yourself! I'll be happy to show you around and help you find the perfect home here in Orlando!

As always, thanks for being here!

- Lindsey

Let's Compare: Home Sale Stats

We'll start with one of the biggest drivers of home sale prices, supply. Take a look at the decline in available homes for sale since 2008. The super low interest rates during 2020-2021 encouraged even more buyers to purchase, further squeezing supply - I wonder if not for that, would inventory have remained around 10,000 like 2014-2020?

Next, demand... Over the last 10 years, Orange County saw the largest growth in population for any county in the state of Florida, and it is projected to continue increasing. Florida also ranked #1 for largest increase in immigrant population (Jan 2020-2022), and with Covid travel restrictions lessening, these numbers are expected to increase, too.

Compared to the historically high increases in home values over the past couple years, we expect it to return to pre-pandemic levels, increasing 2-4% each year, and with the recent interest rate hike to curb inflation many home buyers are questioning if it's still a good time buy. Of course this answer is unique to each situation, but for most buyers who plan on staying in their home for several years, it's almost always better to buy than to rent.

For current homeowners needing (or wanting) to make a move, they might be feeling that they've missed the perfect window to sell, but we all know that there is never a 'perfect' time for anything! Sellers can rest assured that homes are still selling quickly (check out the history below)! It's still true, too, that the home that is priced fairly, well maintained, clean and staged nicely for showings will have no problem selling here in central Florida.

Last but not least, the 30-year fixed rate mortgage. There's no denying that if you were able to secure a home last year when rates were half what they are today you did well, but many Buyers forget that in order to buy that beautiful home last year, the offer likely included a good bit of cash over asking price or an agreement to pay an appraisal gap. Today's buyer faces a higher interest rate, a more reasonable sales price, less competition and the opportunity to negotiate credits from the Seller. When rates come back down in the future, buyer demand will increase again and prices will, too.

Are you thinking about Buying or Selling? I'll be happy to run scenarios with you to help figure out the best plan for your goals.

As always, thanks for being here!

- Lindsey