Each year, the National Association of Realtors releases a comprehensive analysis of home buyer behavior in an effort to better understand how and why buyers are making their decisions. The association’s most recent report describes a number of changes in buyer behavior that occurred in 2022 - some in response to the pandemic and some in response to increasing affordability issues. Below are a few interesting nuggets from the report.
Mortgage interest rates aren’t predicted to drop significantly until 2024 and home prices have stabilized, which means that housing affordability will continue to impact the market for the rest of this year. Though low inventory levels still tilt the balance of power toward sellers, they should to be sensitive to buyer capacity when pricing their homes for sale.