2 0 2 2 T R U C K E E T A H O E M A R K E T S U M M A R Y
2 0 2 3 M A R K E T U P D A T E
The powerful “covid boom” real estate market is in the rearview mirror, and, like a light switch, we turned to well below average activity in the second half of the 2022 year.
Low inventory will continue to be a significant force on the market’s supply side. While inventory is nearly double what it was last year at this time, it is still below half of what we typically saw at this time of year in the pre-COVID benchmark years.
There are significant questions about how strong the demand will be. Major variables like inflation, interest rates, stock market volatility, recession, the Russia-Ukraine War, and short-term rental regulations (call if you have questions!) continue to impact demand adversely.
On a positive note: Sellers, keep in mind this is still a much better time to be a seller than in 2019 (which seemed like a very healthy market then!). You can expect a similar amount of time on the market but much higher sales prices!
Buyers, keep in mind this is the most balanced market we have seen in the last three years.
Although the Feds are still raising the rates, this is only until the inflation is under control.
Will this be 2008 all over again? No
2008
– Too much inventory
– SISA, NINA, and NINJA – no ability to repay
– Pay option ARMs – interest rates doubling in 90 days
– ATM mentality stripped out equity
– Poor servicer loss mitigation options – slow responses – Flipper market mentality
Today
-Too little inventory – 4 million units short of market need
– Full Documentation UW – apparent ability to repay
– Fixed rates and fixed period ARMs – no payment shock
– Less cash-out refinance programs
– Forbearance – Make no payments for 6-18 months if job loss – A long-term investment outlook
– A safe, happy, comfortable home and work location
Please feel free to call or email us today to find out more. In today’s complex market, expert analysis is critical.
