If you are the owner of a property in Greensboro, NC (single-family and multi-family) and want to sell, before a potential correction in the housing market hits, Helpful Homes will buy your property, quickly and with cash. You will not have to list the property and let multiple people through your home, potentially disrupting your flow of life and taking up precious time. Many experts that study the market, now as well as historically are calling for a correction in the housing market, in fact, some say it’s a must.
Chairman Powell of the Federal Reserve, is holding strong to his promise to fight inflation, even at the cost of a recession.
If you are following the real estate market at all, you have probably noticed that interest rates have been on the rise. Even though historically still low, they are on the rise and for many newer buyers, the highest rates they have seen. The market, in general, has also cooled off a bit, some markets and price points more than others, but some cooling overall. This trend may continue as this week say another hike of 75 basis points to the Federal Reserves, federal funds interest rate.
You can check this and other Federal Rates by clicking this link https://www.federalreserve.gov/releases/h15/
There are some other factors aside from simply the rate at play here, and there were some good takeaways from the fed’s last meeting.
What We Think Is Really Going On With Interest Rates
The federal funds rate is always the debate and what we all look to see, after these meetings end. It’s basically the rate at which banks use to lend money, in a short term, to one another. It’s also really the only rate the feds control, yet it can be quite controlling as it has a large domino effect to most citizens.
The Feds Summary Of Economic Projections is actually something they release and it can be read in its entirety here The Feds Summary Of Economic Projections
There was a recent hike of 75 basis points and all signs point to this climbing in the months to come. These raises will most likely continue into 2023, for how long we don’t know. It does seem there is a plan to lower these rates back down, but that is not until a projected 2024. This is a very CLEAR message from the FED to all, the rates are going to stay high!
High Rates Have Large Effects On Property Value
We have all been spoiled and living in the land of 2.9% interest rates. While compared to history, even with these new raises we are still at LOW rates historically. However, try telling that to someone who has gotten accustomed to these low-rate conditions, it comes and shocks an economy. These rates will continue to make it harder for new home buyers to afford mortgages as well as others that want to upgrade. Helpful Homes will pay a fair, cash price for your Greensboro property, let us worry about the interest rates and the possibility of a recession. We buy these properties as-is, so that means as of today, your work is complete. No matter what it needs, we have it covered.
The Focus Of The Fed And Why Selling Now Is Smart
The Feds position is strong on stopping inflation. They are willing to see pain to the economy in the forms of job loss, real estate losses, and even a recession. When these things happen, real estate and home values can drop dramatically. The fed’s summary of economic projections predicts unemployment to rise to 4.4%–this is a rate that generally triggers a recession.
If you would like to lock in some of today’s values and pricing, selling your Greensboro property to Helpful Homes is a real solution.
While real estate prices have soared over the past couple of years and months, the demand is lessening and at a rapid pace. This is putting pressure on current prices to drop. It would seem as though 2023 will be the year where the value drops really occur. The time clock is ticking and if you want to be ahead of that curve, reach out to us today!
Although we are not predicting a market crash like in 2008, we are expecting to see prices drop. Affordability is low and rates are high, something has to give, usually, property values become the great equalizer.
Why Selling To Helpful Homes Is A Great Option
We are local to the Greensboro market and we know the fair value for real estate. This business is not a side hobby for us. Purchasing real estate is how we provide for our families and what we are passionate about. We can take on just about any size project and there is nothing we are afraid to tackle, renovation-wise. We buy and hold rental property in the triad and we love what we do. We are real people that want to hear from you today, and see how we fit into your situation. Call us today at 336 829 7400 or fill out the form below, to get started.