What to Expect if You Buy or Sell Property This July

The real estate market can fluctuate throughout the year, so it’s essential to understand what to expect during specific months. July is a unique time for buying or selling property due to various seasonal and market factors. If you plan to buy or sell property this July, here’s what you need to know.

Market Activity

In the housing market, July typically marks the middle of the peak home-buying season, which begins in spring and continues through the summer. There is usually increased activity with more buyers and sellers during this time. For sellers, this heightened activity can lead to more potential buyers viewing their property, potentially resulting in multiple offers and a quicker sale. Buyers may face more competition but also have a more comprehensive selection of properties.

Pricing Trends

Prices can fluctuate more due to increased market activity. Sellers can benefit from this because higher demand can drive prices up, but you must price your home competitively to attract serious buyers. Even in a busy market, overpricing can still be risky, so working with a real estate professional is crucial to set a realistic price based on current market conditions.

Buyers should be prepared for potentially higher prices but can also take advantage of the more excellent inventory available. While there might be more competition, there are also more opportunities to find a property that meets your needs. Being ready to act quickly and having your financing in order can give you an edge in securing your desired home.

Interest Rates

Interest rates play a significant role in buying or selling property. Currently, interest rates are relatively high, making it a challenging environment for buyers, as financing is more expensive than it has been in over 15 years. Lower rates result in lower monthly mortgage payments, making homeownership more attainable.

Sellers can also benefit from low interest rates, as affordable financing can attract more buyers. Many economists have predicted rate cuts later this year, but the probability of those interest rate cuts has decreased over the past few months, and the likelihood is that such rates may be smaller than expected if they occur. As a result, some buyers might be more motivated to wait rather than purchase now, while others may have resigned themselves to accepting higher financing costs. In either case, demand is categorically high your single-family homes due to a historically low supply of resale homes on the market (more than 50% below normal inventory levels), which is supporting strong pricing power for sellers.

Critical Considerations for Buying or Selling in July

Increased Market Activity: Expect more competition and a faster-paced market.
Pricing Trends: Be realistic with pricing to attract serious buyers or be prepared for higher prices as a buyer.
Interest Rates: You are fighting a headwind from high interest rates, but it has not cooled the overall market significantly. Stay informed about potential changes.

Tips for Buyers

Be Prepared: With more competition in the market, it’s essential to be prepared. Get pre-approved for a mortgage to show sellers you are a serious buyer. This can also help you act quickly when you find the right property.
Stay Flexible: While having a list of must-haves is essential, being flexible with your criteria can open up more opportunities. Consider various neighborhoods and property types to increase your chances of finding a suitable home.
Work with a Real Estate Agent: An experienced agent can help you navigate the competitive market, provide valuable insights, and negotiate the best deal.

Tips for Sellers

Enhance Curb Appeal: First impressions matter. Ensure your property is well-maintained and visually appealing to attract buyers. Simple improvements like landscaping, fresh paint, and clean windows can make a big difference.
Set the Right Price: Work with your real estate agent to set a competitive price based on your area’s current market conditions and comparable sales. Overpricing can deter buyers, while a well-priced property can generate more interest and potentially multiple offers.
Market Effectively: To showcase your property, utilize professional photography, virtual tours, and a strong online presence. Effective marketing can reach a broader audience and highlight your home’s best features.

Conclusion

Buying or selling property in July can be an exciting and fulfilling experience. Increased market activity, competitive pricing, and interest rates must all be considered by buyers and sellers when they assess if a specific deal will help them achieve their real estate goals. Whether you’re looking to find your dream home or sell your current property, understanding these market dynamics and preparing accordingly can lead to a successful transaction.
For more information, visit our website, Northwest Realty Group. This brokerage prides itself on customer service and providing an enjoyable real estate experience.