The selling process is an emotional one. Fortunately, you’ll have an agent by your side from list to closing to help you take things one step at a time. A real estate agent’s expertise ranges far and wide, but as you prepare to sell your home, it helps to know that you can trust your agent to get the timing of the sale right. Let’s explore some of the ways that your agent will help you make the decision to sell your home.
We’ve all heard the adage “location, location, location” as it applies to buying a home, but it also factors into selling a home. Your location will determine your local market conditions, which, in turn, will form your approach to selling your home. Real estate agents have their finger on the pulse of market trends and property values, which gives them in-depth insight into the housing environment around you. They’ll use their access to the Multiple Listing Service (MLS) to perform a thorough Comparative Market Analysis (CMA) of your home to make sure you get the best price while factoring in your local market conditions.
Economic changes also play a role in the timing of your home sale. Mortgage rates, inflation, etc. are often in flux, and these changes can affect how buyers are approaching the market. Your agent will be able to offer insight into how the current economic conditions are influencing the housing market. For more information on this intersection between the economy and the housing market, plus up-to-date analyses of local market conditions in your area, visit the Market News section of our blog.
Best Time to Sell Your Home
Another tool in a listing agent’s toolkit is their knowledge of seasonality. Seasonal fluctuations in the housing market can influence your selling strategy, and your agent knows how these changes throughout the year affect your local housing market. For example, buying activity may dip locally in the winter. In this case, you could spend the winter getting your home ready to sell by spring by investing in high ROI home renovations and landscaping projects to improve curb appeal.
Real Estate Agent Networking
Your agent’s ability to access and analyze information will be a huge help in determining when to hit the market, but their relationships are equally important in getting your home sold to the right buyer. Real estate agents have strong connections to all the important people in the home selling process. Their network will help to facilitate the sale of your home once you’ve decided it’s the right time to sell. It takes a village to cross the finish line, and your real estate agent will help you connect with all the role players it will take to get there.
To learn more about selling your home, connect with a local Windermere Real Estate agent:
Prepping for parenthood? There are so many exciting changes on the horizon, but one change you’ll need to make at home is making sure you have a nursery all set up for your little one. As a renter, you may not have a ton of extra space to work with and you may also be limited by how many aesthetic changes you can make, but with the right guidance and a little creativity, your DIY nursery décor efforts can soar.
Nursery Preparation
Before you get into the design details, you need to choose a location for your nursery. Ideally, it will be close enough to your bedroom that you can quickly give your newborn the attention they need. To properly childproof your home, remove all unnecessary items from the nursery. Properly decluttering the area will help you prioritize safety. For more tips on childproofing your home, visit the U.S. Consumer Product Safety Commission online: Childproofing Tips – CPSC
DIY Nursery Décor
1. Creative Storage Ideas
As a renter, you’ve likely gotten practice maximizing space at home. Storage in the nursery will help to keep everything tidy while making sure that the things you and your child needs are never too far away. Floating shelves and wall-mounted organizers are two popular choices for making the most of vertical space. Be sure to check your lease and talk to your landlord before drilling into the walls to prevent permanent damage. Keep all toys, diapers, and baby-related accessories in easily reachable baskets, stored either underneath the bed or in the closet.
2. Nursery Color Palette
Let your imagination run wild with color design ideas for painting and decorating. Add splashes of colors in the window curtains, pillows, bedding, carpeting, and other accessory items throughout the room. You can also consider removable wallpaper to refresh the room. If you are decide to re-paint, use an indoor paint calculator to determine how much paint you’ll need and to cut down on wasted material.
3. Light and Dark
Finding the right lighting for your home is a room-by-room journey. The kitchen, for example, has different lighting needs than your cozy reading nook. Your nursery is a unique area when it comes to proper lighting. To create a calm atmosphere, choose soft, warm-temperature lamps with dimmers. This allows you to adjust the lighting levels to fit the time of day (or night). Less harsh light is easier on a newborn’s eyes and can make for less of a headache when you’re waking up multiple times a night. Babies also need lots of rest, so it’s important to install heavy curtains that block out sunlight and allow your little one to drift into deep sleep.
4. Bring Nature Indoors
Incorporating nature at home has aesthetic benefits, of course, but it’s also good for your health. Using organic materials, house plants, and earthy accessories can help you breathe easier and lower your stress levels at home. Consider adding small potted plants along the windowsill, installing a mobile with a touch of nature, or even incorporating a small water feature in the room to encourage serenity. A nature-infused nursery will help you relax your mind so you can take each at-home parenting step in stride. To further align your nursery’s design with the rest of your home, learn about which house plants match with different interior design styles.
5. Create a Gallery Wall
You’ll create many memories in your nursery. Who knows? It could be the room where your child takes their first steps or utters their first word. Use wall space creatively by creating a gallery wall with adhesive strips to minimize damage to the walls. You can add personal photos and keep track of special memories made with your family at home. Consider a corkboard or magnetic whiteboard to pin up new memories in sight as well.
For more info on home décor, remodeling tips and more, visit the Design category of our blog:
The following analysis of select counties of the Arizona real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Job growth in Arizona continues to slow. Though the state added 56,800 new jobs over the past 12 months, the annual growth rate of 1.8% is the lowest pace of growth since the pandemic ended. That said, the state’s unemployment rate in May was 3.4%, which was lower than the 3.7% rate we saw at the same time in 2022. Comparing the markets contained in this report to the second quarter of 2022, the Phoenix metro area saw its job base rise 1.9%, or 43,800 positions. The Prescott metro area saw employment rise 1.5%, with the addition of 1,000 new jobs. Unemployment rates suggested that both markets were at full employment. The jobless rate was 3.1% in the Phoenix area and 3.3% in the Prescott area. Both markets saw unemployment fall relative to the same period in 2022.
Arizona Home Sales
❱ In the second quarter of 2023, 18,658 homes sold. This was down 15.1% from the second quarter of 2022, but up a very impressive 24.6% compared to the first quarter of this year.
❱ The growth in quarter-over-quarter sales was more impressive given that average inventory levels in the quarter fell 23.4%.
❱ Sales fell in Maricopa and Pinal counties year over year. However, sales managed to rise 8% in the Prescott market. Compared to the first quarter of this year, sales rose substantially in all three counties. Pinal County led the charge as sales rose 37.1%.
❱ Pending sales rose in Pinal and Yavapai counties but fell in the larger Maricopa County market. This suggests that it might be a challenge to maintain this level of growth into the third quarter of the year.
Arizona Home Prices
❱ Sale prices fell an average of 3.8% compared to the second quarter of 2022 but were 7.8% higher than in the first quarter of 2023. The average home sale price was $609,602.
❱ Compared to the first quarter of this year, prices were higher in all counties. Maricopa County saw particularly strong gains, with prices rising an average of 8.6%.
❱ The year-over-year drop in prices was not surprising given that the market was peaking in the second quarter of 2022 due to rapidly rising mortgage rates.
❱ It was interesting to see list prices rise in all markets compared to the first quarter of the year. Tight inventory levels have sellers feeling confident even in the face of significantly higher mortgage rates.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Arizona Days on Market
❱ It took an average of 66 days for a home to sell in the second quarter. This was 40 more days than in the same quarter of 2022, but 5 fewer days than in the first quarter of this year.
❱ Maricopa County was the tightest market in the region, with homes taking an average of 54 days to sell. Homes in Pinal County took the longest time to sell, at 76 days.
❱ All counties contained in this report saw average days on market rise from the same period in 2022. Compared to the first quarter of 2023, market time fell in Maricopa and Pinal counties and rose by two days in Yavapai County.
❱ The greatest fall in market time compared to the first quarter was in Maricopa County, where days on market fell 13 days.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
Even with mortgage rates well above levels we’ve seen over the past few years, demand for homes still exceeds supply. Given that almost 84% of homeowners with mortgages have an interest rate below 5% and almost a quarter have rates at or below 3%, there is little incentive for them to sell if they don’t have to. This suggests that supply levels are unlikely to improve to a level that meets demand until rates drop significantly. With this supply-demand imbalance, it’s not surprising that home prices are rising again following the decline in the second half of 2022. I expect this trend to continue through the second half of the year.
For the time being, rising list and sale prices, shorter time-on-market, and higher pending and closed sales appear to be offsetting higher mortgage rates. Given these factors, I have moved the needle in favor of sellers. However, it will be interesting to see what the market looks like after the summer lull.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
The following analysis of select counties of the Northern California real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Total employment in the counties covered by this report was flat year over year. Job gains in Placer, San Luis Obispo, and Santa Clara counties were offset by job losses in the rest of the region. That said, the regional unemployment rate was a reasonable 3.5%. The lowest jobless rate was in San Luis Obispo County (3%), and the highest rate was in Shasta County (4.9%).
Northern California Home Sales
❱ In the second quarter of 2023, 9,999 homes sold, which was a significant decrease from the more than 14,500 homes that sold in the second quarter of 2022. However, sales were up almost 50% compared to the first quarter of this year.
❱ Year over year, sales fell across the board, but there was significant growth in all market areas compared to the first quarter of 2023.
❱ Listing inventory was up 15.2% from the first quarter, which likely contributed to better sales volume despite higher mortgage rates.
❱ Pending home sales were up 33.1% from the first quarter of 2023, which suggests that the growth in sales may continue into the summer.
Northern California Home Prices
❱ Higher mortgage rates continue to impact home prices. The average price of a home sold in the region dropped 7.1% from the second quarter of 2022, but sale prices were up 16.1% compared to the first quarter of this year.
❱ Median list prices in the region rose 5.6% compared to the previous quarter. However, all markets were not equal: median asking prices dropped in Santa Clara, Placer, Shasta, and San Luis Obispo counties.
❱ Prices fell across the board from the second quarter of 2022, with double-digit drops in Napa and Alameda counties. Compared to the first quarter of 2023, sale prices were higher in all market areas, with double-digit growth in Alameda, Contra Costa, Napa, and Santa Clara counties.
❱ I predicted in the first quarter Gardner Report that the worst of the price drops were behind us, and the data suggests that this is true. Stability is returning, even in the face of higher mortgage rates.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Northern California Days on Market
❱ The average time it took to sell a home in the Northern California counties in this report rose ten days compared to the second quarter of 2022.
❱ The length of time it took to sell a home rose across the region compared to the second quarter of 2022. However, market time fell across the board compared to the first quarter of this year.
❱ In the second quarter, it took an average of 36 days to sell a home, which was 15 fewer days than in the first quarter of the year.
❱ Homes sold the fastest in Santa Clara County and slowest in Shasta County. Compared to the first quarter of 2023, the greatest drop in market time was in Solano County (-27 days) and Placer County (-17 days).
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
It was interesting to see the housing market pick back up even though the economy appears to be on pause and mortgage rates are high. The question is whether this can continue. Despite higher supply levels, they remain well below historic averages, which is causing prices to rise. The reason for this is that 30% of homeowners in California have a mortgage rate at or below 3%, so there is no incentive to sell if they don’t have to.
Assuming that supply will not increase significantly and that my forecast for mortgage rates to fall modestly through the rest of the year is accurate, I stand by my prediction that the worst of the price drops are over in the Northern California markets covered by this report. Given all the above, I am moving the needle more in favor of sellers, but still holding in the balanced quadrant of the speedometer.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
The following analysis of select counties of the greater Las Vegas real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Clark County continues to add jobs, but the pace of growth has started to taper. The market has added 49,200 new jobs over the past 12 months. Although that was the slowest annual growth rate since before the pandemic, it still represents an impressive increase of 4.6%. The non-seasonally adjusted jobless rate in May was a respectable 5.6%. This was up .01% over April, but down from 8.1% the second quarter of 2022. When adjusted for seasonality, the rate was also 5.6%, down from 5.9% in the second quarter of 2022. My latest employment forecast for the Las Vegas metro area suggests that employment growth will continue to taper, but that over 43,000 new jobs will have been created in 2023.
Nevada Home Sales
❱ A total of 6,908 homes sold in the second quarter of the year, which was a drop of 26.3% compared to the second quarter of 2022. However, sales continued the upward momentum we saw in the first quarter and were an impressive 23.7% higher than in the first quarter of the year.
❱ Year over year, sales fell significantly across the board. However, sales rose in every neighborhood compared to the first quarter of 2023. Every area except Aliante, The Lakes/Section 8, and Northeast Las Vegas saw double-digit gains.
❱ Even more impressive was the fact that sales rose from the first quarter despite the 2.5% drop in the average number of homes for sale.
❱ Pending sales, which are an indicator of future closings, rose 10.7% compared to the first quarter, suggesting that the market may see further growth in sales in the third quarter of 2023.
Nevada Home Prices
❱ Sale prices fell 10.5% year over year but rose 2.1% compared to the first quarter of 2023. The average home sale price in the area was $481,581.
❱ Median list prices rose 3.9% from the first quarter of the year. The only neighborhood where list prices fell was in Southeast Las Vegas. Even there, the decline was a very modest 1.3%.
❱ Year over year, prices fell in every market other than Downtown. However, compared to the first quarter of this year, prices rose across the board.
❱ It would be natural to think that prices should have fallen further given deteriorating affordability and far higher mortgage rates than we have seen in a number of years; however, that does not appear to be the case.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Nevada Days on Market
❱ The average time it took to sell a home in the region rose 26 days compared to the second quarter of 2022.
❱ It took an average of 42 days to sell a home in the second quarter, which was 13 fewer days than it took in the first quarter of 2023.
❱ Days on market rose in all neighborhoods compared to the same period in 2022. However, average market time fell in every neighborhood compared to the first quarter of this year.
❱ Tighter inventory levels are offsetting higher financing costs, which is lowering average market time.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
Just when you think you can write off Las Vegas, it comes back to prove you wrong. The area’s housing market is resilient and is likely to continue being that way. Every index other than mortgage rates is favoring sellers right now. Inventory levels are down. Pending and closed sales are up, as are list and sale prices.
While the market currently favors home sellers, they are not in a completely dominant position. That said, given everything I’ve shared in this report, I have pushed the needle more in their favor.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
The following analysis of select counties of the Utah real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Although it slowed in the first quarter of 2023, employment growth has stabilized in Utah. The state added 52,400 jobs over the past 12 months, which represents an annual growth rate of 3.1%. The counties covered by this report added almost 33,000 new jobs over the past year, representing a growth rate of 2.4%. As we saw in the first quarter of the year, the fastest growing county was Summit, which had a 5.8% annual growth rate. The slowest was again Morgan County, where the job level rose 1.6%. Utah’s unemployment rate in May was 2.5%, up .03% from the level in the second quarter of 2022. At the county level, the lowest jobless rate was in Morgan County (1.8%) and the highest was in Weber County, where 2.5% of the workforce was without a job. In aggregate, the unemployment rate within the counties contained in this report was only 2.3%.
Utah Home Sales
❱ In the second quarter, 6,939 homes were sold in the areas covered by this report. This was down 21% compared to the second quarter of 2022 but was 28.3% higher than in the first quarter of this year.
❱ Year over year, sales fell across the board. However, sales increased by double digits in every county covered by this report compared to the first quarter.
❱ It is quite likely that the higher number of homes sold compared to the previous quarter was a result of the impressive increase in the number of homes for sale. Inventory rose 12.6% over the first quarter.
❱ Pending sales rose 14.6% from the first quarter, suggesting that closings in the upcoming quarter will likely rise.
Utah Home Prices
❱ The average sale price in the quarter fell 5.4% from the second quarter of 2022 to $629,289. However, sale prices were 4.1% higher than in the first quarter of 2023.
❱ Median list prices in the second quarter were 8.5% higher than in the first quarter of the year. It’s interesting to see sellers’ continued confidence given the significant increase in mortgage rates the market has experienced.
❱ Year over year, prices rose in Summit County but dropped in the other markets. Compared to the first quarter, prices rose in every county other than Wasatch, where they fell 12.7%.
❱ It was notable that the markets that saw list prices rising were in the more affordable areas. Expensive counties, such as Morgan, Summit, and Wasatch, all had lower median list prices than in the first quarter of this year.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Utah Days on Market
❱ The average time it took to sell a home in the counties covered by this report rose 36 days compared to the same period a year ago.
❱ Homes sold fastest in Salt Lake County and slowest in Summit County. All areas saw average market time rise compared to the second quarter of 2022, but market time fell in all areas compared to the first quarter of this year.
❱ During the second quarter, it took an average of 54 days to sell a home. Market time fell 13 days compared to the first quarter of 2023.
❱ It was impressive to see the length of time it took to sell a home in the region fall significantly despite more inventory and higher financing costs.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
In the first quarter Gardner Report, I suggested that the region was “very close to bottoming out” in respect to price. It appears I underestimated the resilience of Utah’s housing market. Given all the data presented here, the only thing that favors buyers is that there are more homes for sale. That said, while inventory levels have risen, they remain remarkably low by historic standards. This doesn’t come as a surprise given that 87.6% of all homeowners with a mortgage have rates below 5% and 31.6% have rates at or below 3%. If they don’t have to sell, why would they?
This will keep inventory tight. The only question that remains is how long the market can tolerate high mortgage rates and decreasing affordability. Given all the above factors, I have moved the needle a little more in favor of sellers. I can’t go so far as to suggest that sellers are in a totally dominant position, but they still have the upper hand.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
A lot of information comes at you during the house hunting process. As you search for a home, you’ll likely come across the term “pre-listing inspection” here and there. It can be confusing, especially if you’re buying a home for the first time. So, what is this special report and why is it only found in certain listings? Let’s take a deep dive on the pre-listing inspection, how it factors into making an offer on a home and unravel why some sellers choose to conduct it.
What is a pre-listing inspection?
A seller’s pre-listing inspection is a report issued by the seller before listing their home for sale. A professional home inspector thoroughly examines the home, checking everything from the roof, foundation, and plumbing to its heating, cooling, and electrical systems to identify any repairs that need to be made or any larger issues that need addressing. During the more developed stages of a real estate transaction, you’ll have a professional home inspector perform an inspection to make sure you’re buying the home as advertised. With a pre-listing inspection, the seller is pre-empting this process.
Pre-Listing Inspection Benefits
There are three main reasons why sellers conduct a pre-listing inspection: transparency, repairs, and pricing. It also helps to streamline the buying/selling process, especially in highly competitive markets. In these market conditions, it’s also more common for buyers to waive the inspection to sweeten their offer and get a leg up on the competition. Talk to your agent for more information.
By providing buyers with a clear picture of the home’s condition upfront, sellers are putting their cards on the table. This transparency helps to build trust with buyers interested in their home.
It’s also a way for sellers to identify outstanding repairs and make them before their home goes on the market. The seller can proceed through the selling process with a clear mind knowing they’ve already addressed the issues they found early on. Then, when it’s time for the buyer’s inspection, you can compare the results to make sure you have a full understanding of the home’s condition.
The findings of a pre-listing inspection also help to solidify the asking price the seller eventually sets; they either reaffirm its condition or show the areas where it’s lacking or needs attention. After you make an offer, the bank will order an appraisal of the property to make sure you’re paying a fair price.
For you, walking into the buying process with a pre-listing inspection in hand means you have intimate knowledge of the home’s condition right from the beginning, which will inform your strategy for making an offer. If the seller invested heavily in repairs, they may be less likely to budge on price. If there are several outstanding issues, that may be a negotiation opportunity for you and your agent.
Image Source: Getty Images – Image Credit: sturti
Who pays for home inspection?
The seller pays for the pre-listing inspection. You’ll want to conduct your own to see whether there are any discrepancies between the two. Even professional inspectors can miss something, so it’s worth it to double check their work. This inspection is just one of the costs of the home buying process, but it can save you from the significant costs of undetected repairs down the road. Besides, even in the short amount of time between the pre-listing inspection and when you make your offer, it’s entirely possible that something regarding the home’s condition changed. Getting your own inspection is crucial to gaining a crystal-clear understanding of the home before purchase.
So, should you trust a seller’s pre-listing inspection? Yes, but approach with caution. It shouldn’t necessarily be the final authority on the home’s condition, but it is mutually beneficial for both parties and allows you to make a better-informed decision on whether you want to move forward with your offer. Talk to your agent for guidance on how to navigate the home inspection process. For more information, visit our comprehensive guide to buying a home:
The following analysis of select counties of the Montana real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Year over year, Montana added 7,100 jobs. This represents an annual growth rate of 1.4%, which is the slowest pace of growth the state has seen since pandemic influences started to come into play. Regionally, there were significant variations: Employment fell .7% in Billings while it rose 3.4% in Missoula. Montana’s unemployment rate in May was 2.3%, which was down from 2.6% during the same period in 2022 and may explain slowing job growth. The state has a significant labor shortage. In the metro areas covered in this report, the lowest jobless rate was in Billings at 2.2%, followed by Missoula at 2.3%, and Great Falls at 2.4%.
Montana Home Sales
❱ In the first quarter of 2023, 1,518 homes sold in the counties covered by this report. This represents a 16.1% decline from the second quarter of 2022 but an increase of 58.6% compared to the first quarter of 2023.
❱ Listing activity was 24.8% higher than in the second quarter of 2022 and 17.1% higher than in the first quarter of this year.
❱ Sales fell across the board from the second quarter of 2022. Compared to the first quarter of this year, sales were up in every county other than Jefferson, which is prone to significant swings given that very few homes sell there.
❱ Pending sales rose 15.4% quarter over quarter, suggesting that closings in the third quarter could show additional improvement.
Montana Home Prices
❱ Home prices were down 5% year over year, with an average sale price of $760,428. The average home price rose .1% compared to the first quarter of 2022.
❱ I wasn’t surprised that home prices fell in most areas compared to the same period in 2022. A year ago home buyers were scrambling to buy before mortgage rates skyrocketed.
❱ Year over year, prices rose in three counties and fell in seven. Compared to the first quarter of this year, every county other than Lake, Lewis & Clark, and Flathead saw prices rise.
❱ Mortgage rates remain high, and it’s now likely they will remain higher for longer than anticipated. That will take some steam out of price growth in the second half of the year. This is also supported by lower median list prices than in the first quarter. Sellers seem to understand that higher borrowing costs are having an impact on buyers.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Montana Days on Market
❱ The average time it took to sell a home rose 26 days compared to the same period in 2022.
❱ Homes sold fastest in Gallatin County while homes in Flathead County took the longest time to sell. Only Lewis & Clark County saw market time fall compared to the second quarter of 2022. Average market time rose in the rest of the region.
❱ During the second quarter, it took an average of 77 days to sell a home in the markets covered by this report.
❱ Compared to the first quarter of 2023, days on market fell in all counties other than Jefferson, where it took 20 more days for homes to sell.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
Market indicators are mixed right now. Sales activity increased and the length of time it took for homes to sell fell, which certainly should favor sellers. However, sales price growth was anemic, list prices are generally lower, and there is more inventory to choose from, which favors home buyers.
Having taken all these factors into consideration, I am leaving the needle inside the balanced quadrant. I am giving a bit of bias in favor of buyers, but the degree to which they have an advantage is minimal.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
Idaho’s annual pace of employment growth has started to slow. However, the addition of 25,400 new jobs over the past year represented an impressive 3.1% growth rate. All of Idaho’s metro areas except Lewiston saw solid year-over-year nonfarm job gains. Coeur d’Alene had the greatest increase at 3.9%, followed by Pocatello (+3.6%), Boise (+3.4%), Idaho Falls (3.2%), and Twin Falls (2%). Lewiston saw a very modest decline of 200 jobs, or .2%. The state unemployment rate was a healthy 2.6%, marginally above the 2.5% we saw at this time in 2022, but still the 13th lowest rate in the nation. The lowest regional jobless rate was in Lewiston and Idaho Falls at 2.6%. Boise’s rate was 2.8% and the highest rate was in Coeur d’Alene at 3.3%. Jobs continue to be added across the state. Even if the pace has cooled slightly, the economy appears to be solid. Although I expect the pace of job growth to continue to cool, I do not anticipate jobs to be shed this year, even as the national economy slows.
Idaho Home Sales
❱ In the second quarter of 2023, 5,069 homes sold, which was down 16.1% from the second quarter of 2022. Sales were up 20.8% from the first quarter of this year.
❱ Listing activity was marginally higher than in the second quarter of 2022, but jumped 24.6% from the first quarter of this year, which caused the pace of sales to rise significantly.
❱ Compared to the same period a year ago, sales fell in every market other than Boundary County, but this is a small market that can be prone to extreme swings. Compared to the first quarter of this year, sales rose in all markets other than Valley County, where they fell by a modest 2.1%.
❱ Pending sales were up 13% from the first quarter of the year, suggesting that sales may continue to rise in the upcoming quarter.
Idaho Home Prices
❱ The average home price in the region fell 7.9% year over year to $605,535. Sale prices were 5.7% higher than in the first quarter of 2023.
❱ Compared to the first quarter of this year, home prices rose in all the Northern Idaho market areas and rose in every market other than Gem and Valley counties in Southern Idaho.
❱ Only one county in each of the northern and southern market areas saw prices rise year over year, while the balance of the region had lower sale prices. Prices fell 8% in the south and 7.6% in the north compared to the second quarter of 2022.
❱ Median list prices in the second quarter were down 2.9% from the first quarter. This may have contributed to the increase in sales and prices, as sellers are likely being more cognizant of the higher financing costs buyers are facing.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Idaho Days on Market
❱ The average time it took to sell a home in the region rose 27 days compared to the same quarter of 2022. It took an average of 20 fewer days to find a buyer than in the first quarter of this year.
❱ In all Northern and Southern Idaho counties, days on market rose compared to the same period in 2022. But compared to the first quarter of this year, market time fell in every county other than Valley.
❱ It took an average of 82 days to sell a home in Northern Idaho and 72 days in the southern counties covered by this report.
❱ Homes sold the fastest in Ada County in the southern part of the state and in Shoshone County in Northern Idaho.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
The housing market performed well in the second quarter, even as mortgage rates rose. It will be interesting to see what impact the rate increases in June and July may have on sales activity in the third quarter. Though list prices have not fallen much, the share of homes on the market that have undergone price cuts has increased. This is likely in response to rising mortgage rates. Rising inventory levels favor buyers. If sellers are starting to acknowledge that buyers are being stretched given current mortgage rates, that too works in their favor. That said, higher sales activity and home prices, and lower days on the market all favor sellers.
Since there are components of the market that favor both sides, I am leaving the needle in the balanced quadrant, albeit modestly favoring home sellers.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
The following analysis of select counties of the Central Washington real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.
Regional Economic Overview
The Central Washington region added 4,449 jobs over the past 12 months, representing a decent 2.4% growth rate. At the county level, Chelan County had solid gains, with a growth rate of 5.5%. Douglas and Okanogan counties saw employment levels rise 3.1%, and Yakima County expanded its employment base by 1.4%. Only Kittitas County lost jobs year over year, with a reduction of 1.4%. The seasonally adjusted unemployment rate in Central Washington was 4.9%, down from 5.4% during the same quarter in 2022. The lowest unemployment rate was in Douglas County, where it was 3.2%. The region’s highest jobless rate was in Yakima County, where 6.3% of the labor force was without work.
Central Washington Home Sales
❱ There were 1,007 home sales in Central Washington in the second quarter of 2023, representing a decline of 26.6% from the same quarter in 2022. Sales activity rose 63.5% from the first quarter of this year.
❱ Pending sales, which are an indicator of future closings, rose 48% compared to the first quarter of the year, suggesting that market momentum will likely continue through the summer.
❱ Year over year, sales fell significantly across the board. But the number of homes sold was up across the board compared to the first quarter.
❱ Inventory levels were modestly higher than the second quarter of 2022. However, the number of listings fell from the first quarter. Although this may sound impossible given the increase in sales, sometimes homes sell so quickly they’re not measured in the monthly data, which only looks at the number of homes available on the last day of the month.
Central Washington Home Prices
❱ The average home price in Central Washington fell 9.7% year over year to $479,411, but sale prices were 4% higher than in the first quarter of this year.
❱ Median list prices rose in all counties except Yakima compared to the first quarter of the year, suggesting that home sellers are quite bullish about the prospects of successfully finding a buyer even as mortgage rates remain high.
❱ All counties except Douglas saw sale prices fall from the second quarter of 2022. Compared to the first quarter of this year, prices rose across all counties other than Kittitas.
❱ The second quarter experienced a positive turnaround from the first, when sales and prices were still falling. In last quarter’s report, I suggested that the market would return to stability this summer, but it appears to be happening faster than I anticipated.
Mortgage Rates
Although they were less erratic than the first quarter, mortgage rates unfortunately trended higher and ended the quarter above 7%. This was due to the short debt ceiling impasse, as well as several economic datasets that suggested the U.S. economy was not slowing at the speed required by the Federal Reserve.
While the June employment report showed fewer jobs created than earlier in the year, as well as downward revisions to prior gains, inflation has not sufficiently slowed. Until it does, rates cannot start to trend consistently lower. With the economy not slowing as fast as expected, I have adjusted my forecast: Rates will hold at current levels in third quarter and then start to trend lower through the fall. Although there are sure to be occasional spikes, my model now shows the 30-year fixed rate breaking below 6% next spring.
Central Washington Days on Market
❱ The average time it took to sell a home in Central Washington in the second quarter of 2023 was 53 days.
❱ It took 22 more days to sell a home in Central Washington than it did during the second quarter of 2022.
❱ Year over year, average market time rose in all counties, but it fell across the board compared to the first quarter of this year.
❱ On average, it took 18 fewer days to sell a home in the second quarter of 2023 than it did in the first.
Conclusions
This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.
Data for the quarter appears to favor home sellers, with tight inventory levels, rising prices and sales, and shorter market time. What is particularly interesting is that the market appears bullish in the face of financing costs that remain well above the levels buyers have become used to.
Last quarter, I chose to leave the needle in the balanced quadrant but tilted ever so slightly toward buyers. However, given all the data in this report, I must swing the needle more in favor of sellers. I am not saying it is staunchly a seller’s market given where mortgage rates are today, but they certainly appear to have the upper hand at the moment.
About Matthew Gardner
As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.
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