The Real Estate Market Is Not Going To Crash and here is why

In this month's market update for July 2024, I address the rumors and headlines claiming the real estate market is about to crash. Contrary to these claims, the data tells a different story.
I start by discussing local market trends. Single family home inventory has slightly decreased to a four-month supply, which is a positive sign. Condos and oceanfront condos have stayed flat in terms of inventory, which is also good news given the recent trends. Mortgage rates have dropped below 7%, and there is a high probability that the Federal Reserve will reduce the Fed rate in September, potentially lowering mortgage rates further.
Why is the market not crashing? The demographics tell a compelling story. There are 73 million millennials and 69 million Gen Z individuals, totaling 142 million people in or approaching prime home-buying age. The median age for first-time home buyers is 35, and we are in the midst of the millennials' prime home-buying years, with Gen Z soon to follow. This significant demand, coupled with limited supply, suggests that a market crash is unlikely.
While real estate is cyclical with inevitable ups and downs, historical data shows that long-term home prices appreciate. Trying to time the market is not the strategy; being in the market is. As mortgage rates decrease, more buyers are expected to enter the market, especially for single-family homes.
If you have any questions or need further insights, please feel free to contact me. I'm here to help. [phone] www.abesafa.com
#RealEstate #MarketUpdate #MyrtleBeach #Century21 #RealEstateTrends #HomeBuying #Millennials #GenZ #MortgageRates #HousingMarket
Abe Safa Sales Team is one of the top real estate teams in the country and serve the Myrtle Beach and surrounding areas. We have helped hundreds of Home and condo Sellers navigate the process of selling or buying.
Call us for all your real estate needs or questions. [phone]
#myrtle beach #abe safa #real estate

[@dawnaker725]

We could have too many people and two little houses, but if the people cannot afford the homes, they simply cannot buy them because they will not be approved for a mortgage. The House prices increased with inflation over the past few years, but inflation is leveling out. Salaries did not keep up with inflation, which is why there are too many people on the sidelines that want to be homeowners but cannot be homeowners. They cannot just wish it to be true rates more people will come onto the market, but you are not taking into consideration that usually when the Fed drops the rates it is because we are heading into a recession. If we are in a recession and less people are employed, I do not see how there will be more houses selling.