The last 18 months in real estate have been a wild ride. Average sale price is up by double digits, new listings are selling like hot cakes, and there is extreme competition among buyers. The pace and frenzy of the market have been both invigorating and daunting. The balance between fear-of-missing-out and market fatigue dictates buyer, seller and realtor behavior.
One thing we know for sure is that these conditions won’t last forever. This market will change. But when?
In addressing that question, it’s important to first appreciate the driving forces of today’s market. Since the pandemic began, government stimulus to the economy has resulted in many people having more money to spend – and one of the main places they have been spending it is in real estate.
The desire for residential housing both as sanctuary and retreat during COVID — not to mention functioning as a home office, home school, home gym, etc. — has…