When we talk about the housing market in Central Ohio, the common theme is around interest rates – higher rates. Sellers only want to sell if necessary, and buyers continue to have difficulty finding homes due to low inventory.
It can be hard to understand what is happening right now, as well as what to expect as we head into the final quarter of 2023. Based on our years of experience, here are three trends we expect to continue in the Central Ohio housing market this fall.
Sellers will have a decision to make
Sellers are deciding if they really “have” to move. The frenzy of record-high housing prices we have seen over the last few years is starting to cool down as the market is trending toward stabilization.
Keep in mind that many homeowners have established equity in their homes and are sitting on a mortgage payment with a record low of 2-4% interest rate. In fact, the Columbus Board of Realtors recently reported that between January 1 and June 30, homes, on average, appreciated by over 20%. And they will continue to increase in value, contributing to higher home prices.
The good news is that we are seeing an increase in inventory and fewer bidding wars.
Buyers regain negotiating power
Now that the buyers have more options, they have gained some leverage. While still contingent on factors including financial situation, property, neighborhood, etc., buyers are beginning to see opportunities such as:
- • Opportunities for negotiation
- • The ability to offer under-asking if they have cash
- • Less money out of pocket
- • Less waiving of appraisals, contingencies, etc.
Less focus on interest rates
Interest rates are higher; there is no way to avoid that. But there are other ways to save money when buying a new home in the current market. Remember those opportunities for negotiation that we mentioned?
Our seasoned real estate expert Jacquie Goumas Fox notes, “People have grown accustomed to the higher interest rates. They have accepted them for what they are and factor that into their budget.”
The bottom line
The supply/demand imbalance will continue in Central Ohio. With the news of Intel, there are plenty of economic drivers for business, and entertainment opportunities are abundant. The fact is that while we have always known that Central Ohio is a great place to live, the rest of the world is figuring it out for themselves and the desire to live here will remain high.
When you are ready to have a conversation about buying or selling, turn to our trusted team at Vutech | Ruff to help you navigate the complexities of the Central Ohio real estate market. We go beyond the standard practice and work collaboratively and creatively to help you reach your desired outcome.
It’s one thing to find your dream home, it’s another to have your dream experience.