What’s happening in the housing market right now?
If you’ve been reading the news lately, it’s hard to miss the daunting headlines about the housing market. With interest and mortgage rates on the rise, many buyers are being pushed out of the market. It doesn’t help that the prices of homes are also particularly high right now. There has been a major lack of residential development for over a decade, which has created a gap between the supply and demand of homes. Currently the supply of houses on the market is low, while the demand has remained relatively high.
It’s the culmination of these issues that has led people to fear a crash in the housing market, similar to what occurred back in 2008. Some of you may have even read our recent piece comparing and contrasting the 2022 housing market with that of 2008. However, as that piece indicates, we are working in not only a different market, but a different world.
Learning from the past
In addition to this, several key indicators point to us maintaining a healthy economy which will eventually help fix the issues effecting the housing market; there has been continuous job and wage growth along with signs that inflation has plateaued and will hopefully be decreasing soon.
We’re finally recovering from the COVID-19 lull in building as well. An increase in building developments all over the state will slowly begin to bridge that gap between the supply and demand of homes (just look at the increase in single-family residential developments happening in Sacramento and San Diego!). With all things considered, this is hopefully a dip for the market rather than a crash. It’s important to keep in mind that the market is never going to be perfect—there are always going to be ups and downs.
How PTC is ready to help
Regardless of the current challenges the market is facing, the PTC Team is well-equipped to assist you. With nearly 50 years of experience in the industry, we have truly seen it all here in California. The tenure of our employees in the housing market has resulted in a wealth of knowledge and resources that are absolutely indispensable to our buyers, sellers, and agents alike.
We also have an abundance of material you can conveniently access from home! Specifically, both our Homebuyer’s Guide and Home Seller’s Guide have a ton of organized and accessible information. Ultimately, everyone’s timing is different and you’re in charge of your own financial future, but we are here to help in any way possible. Whether you’re just browsing or currently in the market looking for supportive title and escrow officers, get in touch with us! Find your local office here.