For many people, the new year brings dreams of buying or selling a house. But is this a good time to do it?
Well, we've got high prices, high interest rates and the lowest inventory we've seen since the Massachusetts Association of Realtors started keeping track 20 years ago. And experts don't expect that to change much in 2024.
"We just don't have the supply to keep up with the demand. And that is the biggest factor in what we're experiencing in the market," says Amy Wallick, the association's president for 2024.
In November, fewer than 5,000 single-family homes were for sale in all of Massachusetts. That's down almost 29% from last year. At the same time, median prices shot up 10% to $605,000.
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But those high interest rates have started to come down.
"Our hope is that we will continue to see rates come down a bit as we make our way through 2024, which will be fantastic for the market," Wallick says.
In the meantime she says, "The best piece of advice that I can give to anybody that is looking to sell is to be as prepared as they can."
That means:
- De-clutter AND pack up those things you don't use every day.
- Touch up paint where it's needed.
- Do repairs you've been putting off.
- Arrange a walk-through with a realtor for more advice.
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But wait: do you really need to do all that if a developer is going to come and knock it down?
If that's your worry, "it might just be best to sell as is," said Wallick. "But that's going to very much be on a case-by-case basis. It's never too early to have somebody come in to start the conversation, do a walkthrough and kind of figure out what that best road that you're going to want to take to get the house ready to sell."
As for buyers, Wallick said to figure out your budget and get pre-approved for a mortgage.
"Being ready and being well-positioned to act when that time comes is absolutely essential," Wallick said. "Homeownership isn't necessarily for everybody, and that's okay. It really comes down to knowing your budget, then feeling financially comfortable."
Wallick's bottom line is pretty clear: "In 2024, the market is certainly going to continue to remain competitive, but there will be some really great opportunities. And just being prepared, whether you're a buyer or a seller, is the most important factor."
