The real estate market has received a lot of attention the last several years. Record median home prices, rising interest rates, and the fear of a looming recession have all had an impact on the national and local markets since the beginning months of the Covid-19 pandemic in 2020. With some experts maintaining that the housing market nationally is beginning to show signs of cooling, many questions are being asked by buyers and sellers alike on what their next moves should be. But not all markets behave in ways that mirror what is happening nationally. If you are considering entering the Cherry Creek real estate market, you’ll want to know what experts are saying about the current prices and trends, as well as their predictions for the rest of 2023 and beyond.
National Housing Price Trends
But data shows that the housing market has cooled some over the last 15 months. Rising interest rates have certainly given some otherwise prospective buyers pause, leading to median home prices dropping year-over-year in April 2023 for the first time since before the pandemic.
And though home prices have dipped some, many forecasters aren’t predicting an all-out crash like the nation saw with the Great Recession in 2008. Stricter lending guidelines have kept foreclosure rates low, and there is still more of a demand than a housing supply in many major U.S. markets. These facts have led many to predict that prices might dip a bit more, but will level off by the end of the year.
With the national forecast in mind, what does the data show for the Cherry Creek real estate market?
The Cherry Creek real estate market is showing signs of promise
The inventory of available homes has greatly risen here, impacting the median home prices. Experts predict that this will impact homes valued at 500K and higher the most, with homes listed for under 500K being in a more balanced market.
The home prices in Cherry Creek are still higher than the national average and look to continue to be for the foreseeable future. Though the supply of homes is higher now than two years ago, the area is still one that is greatly desirable. For these reasons, it’s highly unlikely that home prices will drop much more here, although the days of bidding wars on houses are probably coming to an end on most of the listed properties. These Cherry Creek real estate insights suggest that while the market is shifting, Cherry Creek remains a prime area for both buyers and sellers.
To buy, sell, or hold Cherry Creek real estate
The best news seems to be in the favor of buyers in Cherry Creek. The timing here will be important, however, and will give you a few things to mull over. If you wait a bit to buy a home, you might be able to take advantage of a dip in the value of the home you will eventually purchase. But there is something important to consider that might make you act faster.
The rise in interest rates has been an unfortunate reality since early 2022. The Fed has raised rates to levels not seen in years, which is part of the reason that the housing supply has jumped in certain markets. If you wait too long to buy, you might well be entering a mortgage where you’ll be paying a lot more over time for the home than you would if you put in an offer today.
Considering the future of Cherry Creek housing, whether you want to buy or sell a home in Cherry Creek, it’s important to weigh out all of your options. Just like the stock market, it is difficult (if not impossible) to time the real estate market so that your sale or purchase will happen under the best possible market conditions. The reality is, if you HAVE to sell, sell using an agent that will help you get the most money for your home. And if you are buying, consider what rising interest rates will impact on the amount of money you will end up paying out of pocket over the entirety of the mortgage.