November 2022 KC Housing Market Update
The media is throwing stats and numbers and fear at you - but what is really happening in the housing market in the KC area? Let's take a look.
"You won't know you've hit the bottom until you're out of it," Gary Keller reminded an auditorium full of Keller Williams Real Estate Agents at MEGA Camp.
Alternatively, you won't know you're at the top until you go down.
In many housing markets around the United States, the Kansas City area included, we are no longer at the top of the market, which we would put at around July of this year.
The good news for most home sellers: We are not at the bottom, either.
So what exactly does this mean?
It means it is still a seller's market and the housing market is showing its traditional seasonal shift. We always expect there to be more inventory (ie, homes for sale) in the fourth quarter of the year when compared to Q1-Q3. Most people only sell this time of year if they have to.
January will give us a better idea as to what the rest of the year will look like, but here is what we are seeing right now.
Good homes priced right (<- that's the key) are still selling quickly, and some with multiple offers.
Interest rates are going down.
Homes are still appreciating when compared to this time last year; which means it is still a good time to buy a home.
The average days on market in November was 28. October was 21, which is a 34.5% increase.
November and October housing inventory remained the same at 1.5 months
The average home sale price in November was $302,125, down 8.4% from October at $330,000.
299 homes were sold Oct 2022, and 232 were sold Nov 2022.
Whether you're hoping to buy a home or sell a home, we encourage you not to fret over these numbers. Most of the trends above are normal for a shifting market due to seasonality.
For home sellers: this is still a good time to sell! BUT you have to make your home the best available (ie priced right, staged well, and also you might need to do some repairs)
For home buyers: If you are a VA or FHA buyer and may have had a hard time purchasing a home early this year, now is your time. Fewer active buyers equal less competition for you as a buyer. A seller may not be in a position to only choose a cash or conventional financed offer these days. They may just have to be happy with the offer they receive.
We don’t have a crystal ball, but if housing inventory does not rise suddenly and interest rates stabilize, we could see a normal market next year. Normal meaning- the market will begin to wake up in the first quarter and we could see a strong Spring market in Q2.