Q4: A Cooler Season & A Cooler Market…Usually.

They did it. They really did it! After months of economic shift and watch dogs studying inflation numbers, the Fed finally lowered the interest rate.  We saw a small decrease in the August, but it wasn’t enough to spur any sort of push in the real estate market. It was kind of like a nice little house-warming gift to the Buyers who were already under contract for a home in August, so it wasn’t nothing!

This has raised a number of questions for both Buyers and Sellers. And, lets be honest, Real Estate Agents have been chomping at the bit for this encouraging shift because Buyers & Sellers move in groups, for the most part.

1. Will Q4 see a jump in Buyer demand?
   • Maybe. We’re already seeing Buyers returning to the market to begin their soft search, while others are coming back to the market after waiting out the higher interest rates. If recent years have taught us anything, it’s that the Seattle Real Estate Market moves fast and changes on a dime. Being prepared is the key to success.
2. Will Sellers meet that demand if they believe the Buyers are present in the market?
   • Maybe. Q4 is historically a cooler season. With school back in session, vacation season over and the holidays right around the corner, September and early October is usually the last push for listing homes in any notable quantity. That said, Sellers may be motivated to list if they feel the confidence return in the current pool of Buyers.
3. How early will the Spring market kick off in 2025?
   • We’re not excited about making predictions, but we can say that there are Sellers who are doing listing-prep now, in order to be ready at the first sign of Buyer demand. Early Spring usually begins at the end of February.
4. Will the proper 2025 Spring market mirror the frenzy similar to the likes of 2020-2022?
   • 2025 will see a gradual improvement of interest rates as they trickle down in numbers. Some Buyers see more value in getting a home now and refinancing later, and some Buyers really need to wait until their projected monthly payment looks affordable in their price range. Either way, there has been a lot of pent up energy in folks wanting to enter the housing market in the last couple of years. We expect competition amongst Buyers to trend upward throughout next year.

For Sellers: If you’ve been waiting for the right time to list your home, now is a great time to pick up in those considerations. It takes about 2-3 weeks of preparation to list a home in *perfect* condition. For homes needing some cosmetic repairs (paint, patching, wood floor refinishing, landscaping, etc) the average time is about a month – and that requires a certain level of ambition!

Start prepping now. Not sure where to start? Let’s chat. We can help point you in the right direction and help you prioritize a to-do list. h2homes@windermere.com

For Buyers: Get pre-approved now. There is no other way to say it. The sooner you can understand your purchase power, the better. Do NOT wait to get a loan pre-approval from a Lender until your dream house is on the market and they review offers in 4 days. It’s likely too late by then. Even if you’re not planning to buy a home until March or April of 2025, start your Lender interviews and get your documentation vetted. If there are any red flags to clear up, or any opportunities to improve your qualifications, its better to know now than when you’re at the point of actual house hunting. Ugh…That just sounds stressful….

Not sure where to start? Let’s chat. We work with some incredible Lenders who offer our buyers a competitive edge and detailed insight into your best options for loans towards a home purchase. h2homes@windermere.com

As always, we’re here to help you live where you feel at home! Let us know how we can be of service 🙂

Joe & Ashli