The headline above is distressing enough without using bloated list or asking prices — a stat that is meaningless so rarely quoted — to throw gas on overheated markets nationwide. Without more precise local information or insight into the economy, the article simply feeds a speculative mindset that has normalized irresponsible BLIND bidding wars in Greater Boston and beyond.
IMHO: Self-servicing fluff for the selling side of the industry, not the perspective you want from a buyer agent.
If you’re a prudent and patient homebuyer, the good news is that the Fed’s second interest rate increase of 2017 is all but certain in the two weeks. Regardless of whether there is a third in September or December, my guess is that the Summer slowdown will be reflected by stats this Fall and some sellers will regret missing the peak of the market.
Want to try to reach them now with #ProactHH or time the market by waiting? By November, we’re likely to see a repeat of the drop in pending sales highlighted in the screen grab above even without the election.
Here’s what CNBC is reporting. If wages aren’t growing, speculation or the mix of more expensive homes being sold is driving unsustainable price increases:
“The markets haven’t changed their view that the Fed is on a near-term path. It’s still 90 percent for June in two weeks. The question is longer than that. There’s seems questions about whether they move in September. It might be moved out to December, but it’s too early,” said Sanchez.
The Fed has forecast two more rate increases for this year, after its March hike, and it has also spelled out how it may begin to shrink its balance sheet late in the year.
“We have a debt ceiling showdown. We have uncertainty around policy. I was not waiting for a September hike anyway. There could still be three rate hikes this year but the Fed needs to see a lot more wage acceleration,” said Diane Swonk, CEO of DS Economics.
http://bit.ly/RatesUpJun2017 (share via social media)
Post Memorial Day, pleased to receive price reduction alerts this morning from listing sites. They’ll be another wave of them after the 4th of July.
Time to pause of go proactive?