Rates went down about .5% over the last few weeks, which means 3 million households just entered the market – or will, as soon as they hear about it in the news!

There is often a 2-week lag between when rates change and the general public hears about it.

If/when rates go down, competition rises.

Millions of households have been priced out of the market for this last year, and are eagerly awaiting lower rates.

Buyer demand is also slower once the school year starts and it gets colder outside (families don’t want to disrupt the school year for their children).

So here is the Black Friday sale: Your mortgage payment just got about $120/month cheaper (difference of 8% and 7.5% rate), and the crowds have not yet caught on to it. You can buy a home with less competition at a lower monthly payment...for now.

It will not surprise me if property becomes 10% more expensive as soon as we hit a 6.5% rate

(that’s 6 million more “friends” entering the property to take your dream home)

Also, consider the shocking chart below, Wisconsin has gone from 36,000+ active listings in 2017, to averaging below ~10,000 in the last 5 years.

If buyer demand skyrockets again, with so few listings that we have, it is not unreasonable to think we would have bidding wars of 20-30 buyers per property again - which happened from the end of 2020-2021. 

Finally, builders have pulled back on new construction significantly in Wisconsin, and we are averaging lows we haven't seen since 1990.

If builders are scared to build, then listings will stay low for a long time, further driving up competition and house prices. 

Questions on any of this? Don't hesitate to call / text at 414-488-0438!