OCt 2024 Newsletter

This Is the Sweet Spot Homebuyers Have Been Waiting For

After months of sitting on the sidelines, many homebuyers who were priced out by high mortgage rates and affordability challenges finally have an opportunity to make their move. With rates trending down, today’s market is a sweet spot for buyers—and it’s one that may not last long.

So, if you’ve put your own move on the back burner, here’s why maybe you shouldn’t delay your plans any longer.

As you weigh your options and decide if you should buy now or wait, ask yourself this: What do you think everyone else is going to do?

The truth is, if mortgage rates continue to ease, as experts project, more buyers will jump back into the market. A survey from Bankrate shows over half of homeowners would be motivated to buy this year if rates drop below 6% (see graph below):

With rates already in the low 6% range, we’re not terribly far off from hitting that threshold. The bottom line is, that when they drop into the 5s, the number of buyers in the market is going to go up – and that means more competition for you.

That increased demand will likely push home prices up, which could potentially take away from some of the benefits you'd gain from a slightly lower interest rate. As Nadia Evangelou, Senior Economist and Director of Real Estate Research at the National Association of Realtors (NAR), explains:

“The downside of increased demand is that it puts upward pressure on home prices as multiple buyers compete for a limited number of homes. In markets with ongoing housing shortages, this price increase can offset some of the affordability gains from lower mortgage rates.”

So, while waiting to buy may seem like a smart move, it could backfire if rising prices outpace your savings from slightly lower rates.

What This Means for You

Right now, you’ve got the chance to get ahead of all of that. Today’s market is a buyer sweet spot. Why? Because a lot of other buyers are waiting – which means not as many people are actively looking for homes. That means less competition for you.

At the same time, affordability has already improved quite a bit. Recent easing in mortgage rates has made homeownership more accessible. As Mike Simonsen, Founder of Altos Research, says:

“Mortgage payments on the typical-price home are 7% lower than last year and are 13% lower than the peak in May 2024.”

And while the supply of homes for sale is still low, it's also higher than it’s been in years. According to Ralph McLaughlin, Senior Economist at Realtor.com:

“The number of homes actively for sale continues to be elevated compared with last year, growing by 35.8%, a 10th straight month of growth, and now sits at the highest since May 2020.”

This means you now have more options to choose from than you’ve had in quite a while.

With fewer buyers in the market, improving affordability, and more homes to choose from, you have the chance to find the right one before the competition heats up.

Why Waiting Could Cost You

If you’re waiting for the perfect time to buy, it’s important to understand that timing the market is nearly impossible. The longer you wait, the higher the risk that market conditions will shift—and not necessarily in your favor. As Greg McBride, Chief Financial Analyst at Bankrate, says:

“It’s one of those things where you should be careful what you wish for. A further drop in mortgage rates could bring a surge of demand that makes it tougher to actually buy a house.”

Bottom Line

Don’t wait until you have to deal with more competition and higher prices – you already have the chance to buy a home while we’re in the sweet spot today. Let’s connect to make sure you’re taking advantage of it.

The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Keeping Current Matters, Inc. does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Keeping Current Matters, Inc. will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.

Local Data. National Insights.

…at Keller Williams Success Realty last month.

In our area this month…

Our market has started cooling and prices have recently plateaued as we head into the fall season.

Across the NW Suburbs of Chicago, most towns remain in a strong seller’s market, but pricing homes correctly still drives the majority of savvy buyers.

If you are considering selling your home or buying a new one, connect with us to learn more about your unique situation.

Spicy Black Bean Chicken Enchiladas with Pumpkin Sour Cream Sauce

Ingredients

For pumpkin sour cream sauce:

  • 1 (15 ounces) can pumpkin puree

  • 1 (14.5 ounce) can tomato sauce

  • 1/2 cup low fat sour cream

  • 1/3 cup water or low sodium chicken broth

  • 2 cloves of garlic, minced

  • 3 tablespoons chili powder (I used McCormick chili powder, which is mild)

  • 2 teaspoons cumin

  • 1/2 teaspoon red cayenne pepper (use less or omit if you don't like spicy things)

  • Freshly ground salt and pepper, to taste

For filling:

  • 1 teaspoon olive oil

  • 1/2 white onion, diced

  • 1 jalapeño, seeded and minced

  • 2 garlic cloves, minced

  • 2-3 cups cooked and shredded chicken breast

  • 1 (15 ounce) can of black beans, rinsed and drained

  • Freshly ground salt and pepper

  • 12 soft corn tortillas (you can also use 6 inch flour tortillas)

  • 2 cups shredded Mexican or colby jack cheese

Directions

  1. Begin by making the pumpkin sour cream sauce: In your food processor or blender combine pumpkin puree, tomato sauce, sour cream, water/broth, garlic, chili powder, cumin and cayenne; puree until smooth. You can also do this in a large bowl. Taste and season with salt and pepper.

  2. Preheat oven to 350 degrees F. Spray 9x13 baking dish with nonstick cooking spray and add 3/4 cup of pumpkin sauce to the bottom; use a spatula to spread out evenly. Set pan aside.

  3. Place shredded chicken in large bowl and add 3/4 cup of the pumpkin-sour cream sauce to it. Set aside.

  4. Next make the filling: Heat large non-stick pan over medium heat and add olive oil. Add onion, jalapeno and minced garlic and cook 3-5 minutes or until onions begin to soften.

  5. Remove from heat and transfer into the bowl with the chicken, then add in the black beans and 1 cup of the pumpkin sauce. Stir to coat the filling.

  6. Next warm tortillas in microwave for about 20 seconds so they are easier to roll. You can splash a little water on them before microwaving to make them more pliable. Then, place about 1/4 cup mixture on each tortilla. Sprinkle 1 tablespoon of cheese in each tortilla. Roll each tortilla and place seam side down in baking pan. Pour remaining pumpkin sauce on top of all the tortillas and then sprinkle remaining 1 1/4 cup cheese on top.

  7. Bake for 20-30 minutes until cheese is melted and edges of tortillas begin to turn golden brown. Top with sour cream, avocado, or cilantro. Makes 6 servings -- about 2 enchiladas each (12 total).

Check out the original recipe here: https://www.ambitiouskitchen.com/spicy-black-bean-chicken-enchiladas-with-pumpkin-sour-cream-sauce/