LOCAL SPOTLIGHT
The Realities of Real Estate: Local Realtor Shares Market Insights, Trends and Research Medford, OR | April 2023 R eal estate trends have made headlines recently, detailing increasing interest rates and prices, searching for available inventory, and questioning if there is enough affordable housing to accommodate a growing population. available units. But a combination of high interest rates, fear and uncertainty kept buyers out of the market. Houses stayed on the market longer and sellers dropped
their prices just to be able to sell what they had. However, the market is thawing, especially entering spring — a busy time in real estate. “I’m seeing a market similar to before the ‘party days’ of 2, 3 and 4% interest rates,”
With many unique factors to consider in every community — everything from the economy, to local demographics and the labor market — real estate is constantly evolving. It’s also causing anxiety for buyers and sellers who wonder when the right time is to enter the market again — if at all. But local experts remain optimistic about the future of real estate. “People won’t stop buying and selling real estate,” said Ellie George, principal broker and owner of Home Quest Realty. “With marriages, births, divorces and deaths, families grow and need larger houses, or seniors downsize. It’s real estate. It’s life.” A TALE OF TWO MARKETS According to Ellie, the high interest rates came on quickly and shocked everyone. “It created this game of chicken where sellers who didn’t have to sell, simply didn’t. They didn’t want to dive into 7.5% interest rates when buying a new house,” she said. This resulted in little inventory, which would usually have buyers scrambling to purchase
she said. Because now, people are beginning to accept the new interest rate numbers. Ellie recalls that years ago, rates ranging from 5.5 - 7% were normal, and even considered good. She believes it will be a long time — if ever — before interest rates fall to those historically low numbers again.
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The Business Review | March 2024
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