As we suspected in our last blog entry, the market has shifted. And some believe that it has shifted more drastically than what the economists and the Federal Reserve wanted. In our Houston market, sale listings have increased almost 20% in the last 6 weeks, and new construction permits have decreased over 30% compared to the same time a year ago.

Price reduction is already happening, and homes are sitting on the market for much longer periods of time than what we have seen in the last 3 years. Bidding wars are nowhere to be found.

And of course, there is the other side of the coin: jobs. Markets like Austin are seeing a price drop and inventory increases much more dramatic than other markets. The tech industry has been laying off employees by the thousands.

Unfortunately, these are the “brakes” that the government had to apply to cool off the economy we have seen ever since everyone got adjusted to the challenges that Covid presented to all of us. Some want to call it “soft landing”. For the folks that are losing their jobs there is nothing “soft” about the situation. And there is going to be a lot of people that will find that that over-paying for a property sometimes does not pay off, no pun intended of course.

If you need assistance to review a situation where a property is involved (home, multi-family, land, condo, etc.) please do reach out. Our services are free and we have brought relief to over 500 families during the time we have been in business.