The Perry Wellington Realty 4.5 team is back with another weekly update on the real estate market. This time, it’s a bit different as they have one word to sum up the past few weeks — “Stonewall”
Buyers are putting in offers, but when sellers counter, the buyer stands their ground and refuses to negotiate. This is something the Perry Wellington Realty team has seen happen several times in the past week.
Is it about to get worse for buyers? The Perry Wellington Realty team talks about Adam Conrad’s Senior Mirror Article from Sunday all about the Fed announcing that they’re going to start rate tapering in November.
Your house, if listed for $185,000 with a 2.5% interest rate, is $731 per month for a buyer.
At 3% – just a half percent change in interest rate, the same $731 will only buy a house for $173,500.
That’s a difference of $11,500 for just a half percent increase in rate.
This means the buyer’s dollar won’t go as far, and they won’t be able to offer sellers nearly as much.