As a professional in the Real Estate Space with Ticor Title for over 20 years, I get asked a lot, what is the market like? My best response I can give right now, is to ask why? And where?
Do you plan on buying? Selling? And where? My answer will vary depending on those factors. However, I do have an opinion as to what 2024 MIGHT shape out to be like. Which all rely heavily on FIVE MAIN ECONOMIC FORCES. Follow me….
What is 2024 starting to look like to you?
Anyone else having thoughts of 2019?
I’m not mad about it….
Let’s compare here:
- Agent Sales Force:
- 2019 – 2,701
- 2024 – 3,360
- Decrease of 20%
This is a good thing. Decreased sales forces = Top Notch Professionals STAYING.
Here is where things start to look similar, and in my opinion, promising:
- January 2019 New listings: 1,185
- January 2024 New Listings: 814
- January 2019 Months of Inventory: 3
- January 2024 Month of Inventory: 3
- January 2019 Pending Listings: 1,049
- January 2024 Pending Listings: 844
These are your LEAD MEASURES folks.
A few other lead measures:
- Expired(s), price adjustments.
Your LAG MEASURES are your Closed Sales:
- January 2019 Closed Sales: 676
- January 2024 Closed Sales: 524
Here is also a difference in the Markets:
- January 2019 Average Sales Price: $314,677
- January 2024 Average Sales Price $466,957
- Both sold for 98-99% of list price!
- January 2019 Average 30-year fixed: 4.5%
- January 2024 Average 30-year fixed: 7.6%
2024 Forces at Play:
- Election year
- Inventory
- Pent up demand
- Inflation
- Rates
None of which I am necessary qualified to discuss but I always have my 2 cents….
- Inflation is still high, and consumers won’t stop spending
- Rates will remain above 5%
- Demand will adjust to the new norm
DEATH | DIVORCE | DESTINATION | DUPLICATION | DEBT
These factors will continue to be the #1 influence for consumers to buy, sell or refinance.
Find the need. If you are an industry professional, find the consumer’s need!
Branding | Database | PROSPECTING should be your TOP 3 priorities. Period.
