What’s Happening in Real Estate in the 5 Regions of the US?
This month, we want to focus on the preliminary outlook for the 5 regional real estate markets in the United States.
1. West/Northwest Market: Homeowners are finding they are not enjoying the same advantages of the past spring market because home sales are adjusting to a more pre-pandemic pricing structure. The selling strategy is to understand where your home is positioned against the competition.
2. Midwest Market: This region offers a more balanced market between sellers and buyers and is more attractive. Despite their price increase in 2022, homes remained affordable. Buying a home in this region makes the jump from renter to homeowner more attainable. Example, the median home price in a city like Chicago is $43K less than the national average. The selling strategy is to market a move-in ready home to attract 2023 buyers.
3. Northeast Market: In several enclaves, the housing market rose during the pandemic but remained affordable, much like the Midwest. Home prices have cooled and the number of days a home spends on the market before receiving an offer has increased. For those who need or wish to sell, the strategy is to price the home correctly and avoid “testing” the market.
4. Southeast Market: The Southeastern housing market remains competitive though the average sales price of a home in this region is down compared to last year. The area has begun to stabilize following the flood of people moving to warmer climates during the pandemic.
5. Southwest Market: As with the Southeast, many people moved to this area following the pandemic, driving up prices. Increased interest rates, new property owner regulations, and the deceleration in the market will bring more balance between buyers and sellers. A key selling strategy will be to stay informed of market shifts.