Is the Real Estate Starting to Soften in Macomb County Michigan?

CHESTERFIELD TWP, Mich. - Jan. 19, 2019 - PRLog -- Friends and Clients —

We seem to be entering a buyer's market.

I'll explain what this means for you in just a second.

But first, let me give you a quick rundown of current real estate conditions:

1. Prices at or close to all-time highs

For the past several years, home prices grew at twice the rate of inflation and faster than incomes. Not surprisingly, we are now at record price levels.

However, price growth has definitely been slowing over the past several months. And we're even seeing some softness in the market, with an increasing number of price cuts.

2. Mortgage rates rising

The current 30-year fixed mortgage rate stands at 4.63%. That's almost a 1% increase over just a year ago and the highest level we've seen since 2011.

3. Dropping affordability and demand

Combined with current high prices, the rise in mortgage rates is causing a decrease in affordability.

Earlier in the year, affordability was estimated to be at a 10-year low. Not surprisingly, this is having an effect on demand, with mortgage applications down 16% over last year.

Like I said at the start, this seems to be part of a fundamental shift in the market.

Home price growth is slowing, and home prices might eventually start to decrease. Mortgage rates are expected to continue to grow. And if that happens, we will slowly but surely enter a market where buyers, not sellers, have the final say.

So what does this mean for you?

Well, if you're looking to sell, it means the time to act is now.

Around Macomb County, I still see a lot of demand for homes and condos. However, over the next several months, it's likely that national trends will catch up with us here as well.

The good news is, you have an opportunity to act before this happens.

If you decide to list your home this winter, you might benefit from the current high prices as well as the solid demand around Macomb County. In other words, you could sell quickly and for top value.

Are you thinking of selling your home in 2019?  Just input your address to get your free home value report. I can come over and look at your house and give you advice on staging and fix-ups.

Enter your home address here to find out what your home is currently worth (http://www.simplelistingsystem.com/view.php?r=54cx68vx2&a...)

And if you are ready to get the process rolling while this opportune moment still lasts, give me Rick Giese a call or text at 586-242-3100 I'm here to help.

Have a great day,

Rick Giese

586-242-3100
rick@rickgiese.com