KW SONORAN LIVING
Industry View
This Week
Your market and money read, in one place
Where the market is right now
We have the most homes for sale since 2019 and the fewest buyers in 14 months. That's a big supply and low demand, and that spread is your buyer's edge. More inventory, better prices, and sellers who are paying concessions to get to the table.
This favors the buyer who shows up. It won't last forever, so the move is to get serious buyers off the fence now, while they have the leverage.
- Tell the buyer story: most homes since 2019, fewest buyers in 14 months. That's negotiating power, use it.
- Walk in like a bulldog on offers, ask for concessions, repairs, and a rate buydown. Ask for the moon, land on the stars.
- On the listing side, price it right and lean on your CMA. In this market, the right price and clean prep is what moves it.
The money side this week
Rates ticked up to about 7.17% on the 30-year conventional, up from roughly 6.78% a week ago. Inflation isn't down and jobs are up, so there's nothing pushing rates lower right now, and the Fed may hike again.
Here's the reframe for your clients: the 3% rate was the anomaly, 6 to 7% is the new normal. Waiting for a big drop loses twice. Nobody times the bottom, and the day rates ease, every buyer who waited floods back and bids prices up. Their edge is now.
- Coach the payment, not the rate. A 1-point buydown drops the payment about 10%, and a seller-paid buydown often beats a price cut for their monthly.
- Marry the house, date the rate. Get them in now with a seller-paid buydown, refinance when rates ease.
- Seller concessions are how you get a buyer off the fence. Ask for them on every deal.
- Put a lender on it. Have them call for a real scenario and a buydown quote. Numbers close deals.