Whether you think the national housing market will drop 5% or 30%, it doesn't matter as much as what's happening in individual markets
One factor investors should consider
Are we in a buyer's market now or is it still a seller's market?
Let's compare the data of two cities
One factor investors should consider
Are we in a buyer's market now or is it still a seller's market?
Let's compare the data of two cities
Why does this matter?
A change from a seller's market to a buyers market means home prices may be coming down quite a bit as sellers are more willing to accept a buyer's offer and terms
It may indicate a good time for investors to find properties at lower prices
A change from a seller's market to a buyers market means home prices may be coming down quite a bit as sellers are more willing to accept a buyer's offer and terms
It may indicate a good time for investors to find properties at lower prices
Let's compare Cincinnati, Ohio and Las Vegas, Nevada
We're going to look at two indicators:
- Inventory
- DOM (Days on market)
When these metrics are low - they indicate a Seller's market
When they are high - they indicate a buyer's market
We're going to look at two indicators:
- Inventory
- DOM (Days on market)
When these metrics are low - they indicate a Seller's market
When they are high - they indicate a buyer's market
First let's look at Cincinnati, Ohio
You can see on the @Redfin chart that inventory remains at all time lows and hasn't really increased, not even to pre-pandemic levels
You can see on the @Redfin chart that inventory remains at all time lows and hasn't really increased, not even to pre-pandemic levels
In this second chart you can see the days on market hasn't increased significantly either - there is a clear downward sloping trend
This indicates that they are still in a Seller's market
I don't see home prices falling a significant % at least not in the next 3-6 months
This indicates that they are still in a Seller's market
I don't see home prices falling a significant % at least not in the next 3-6 months
Contrast that with Las Vegas, Nevada
It's interesting to see that the data since March 2022 shows a large jump in inventory numbers
I don't know if it is due to a drop in demand (due to high interest rates) or purely an increase in inventory - either way the increase is notable
It's interesting to see that the data since March 2022 shows a large jump in inventory numbers
I don't know if it is due to a drop in demand (due to high interest rates) or purely an increase in inventory - either way the increase is notable
Days on market has increased significantly as well
From close to 10 days on market to almost 50 days
The data is suggesting that this market is becoming more of a buyer's market and sellers will need to lower prices
From close to 10 days on market to almost 50 days
The data is suggesting that this market is becoming more of a buyer's market and sellers will need to lower prices
While this data is only a current snapshot of the market & forecasts only a few months into the future
It's important for investors to pay attention to the trends that are happening in their specific market
It's important for investors to pay attention to the trends that are happening in their specific market
I hope this was helpful
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If you enjoyed this thread:
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