House values ​​rise as sellers face increasing pressure to reduce prices

US home list prices It struck the highest level ever, indicating a possible shift towards the buyers market, according to industry experts.

In total, the value of homes in the United States increased by 20.3 % from last year, with a record number of $ 698 billion, according to a recent report issued by the real estate company Redvin. This increase was driven by a range of growing stock, slow demand and high -selling prices.

With the number of sellers out of buyers, the chief economists of RedFin Daril Ferroeer Fox Business have been about to shift in the next two months.

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“All of these houses are listed Really high pricesAnd for this reason they sit on the market. But buyers cannot withstand the costs of these high prices, which is why they are retreating from the market, adding that mortgage rates, insurance costs and property taxes are high. “Buyers do not bite these prices.”

Veroyeth noticed that there are better options in the rental market as well.

As a result, the houses that sit on the market will need to determine the price, and any new listed houses will need a more conservative price in order to get a bid, Veroywad said. Otherwise, the sellers will have to write off or maintain their homes on the margin.

“Some time has passed since these people bought homes. A lot has changed. The economy has changed. So I think more home owners will have to bite bullets and reduce their prices,” she said.

Noel Roberts, founder of the suspended real estate company, specialized in transactions outside the market, told Fox Business that the “game changes” for sellers with the inventory continuing to get more power.

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The number of homes in the market in the country increased by 16.7 % on an annual basis in April, as it reached its highest level in five years, due to the large extent that the impact of the mortgage lock was relieving and homeowners trying to take advantage of economic uncertainty, according to Rodivin. The homes are also sitting in the market for nearly a year ago. There is also an increasing share of the stock on the market for more than two months, according to the real estate company.

“The sellers can no longer rely on a scarcity of heavy lifting. With the construction of inventory, sellers will need to operate the most intelligent and strategic play books,” Roberts said. This includes realistic prices, as well as upgrading the presentation and targeting the appropriate buyers early.

Meanwhile, it provides an opportunity for buyers who have more space for negotiation, according to Roberts.

He said, “In some sub -markets, this may be the first real opportunity in years to secure a favorable house.

The current environment likened to “less death and more about discipline,” noting that sellers who adhere to the environment will sell homes and buyers who are more active than they are more likely to find good value.

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The reason for a separation between what the seller expects and what buyers want to pay is that some homeowners are being held in relatively cheap real estate loans. As a result, many do not feel that it is worth selling unless they can get a large price that would justify abandoning the low rate. As of February, 82.8 % of home owners with real estate loans had a interest rate of less than 6 %. Average modified on a A stable mortgage for 30 years It is currently 6.85 %, according to Freddy Mac.

However, the lock effect began to dilute as Americans used to high interest rates and many of them need to move, according to RedFin.

The sellers will continue to get Decent value For their homes as well, given that the market does not collapse, according to Fairweather. It indicates that many sellers who need to move will feel pressure to lower their price to make the sale.