Housing Market Reality Check: Time to Panic or Hodl? (Spoiler: Probably Hodl)

Reality Bites (But Not Too Hard)

Well well well looks like gravity is still a thing even in the housing market. Existing home sales took a bit of a tumble in March down 5.9% from February. I know I know it's practically the apocalypse. But before you start building that underground bunker let's remember that markets fluctuate more than my Twitter feed on a slow news day. As I always say 'I’m not saying I’m always right but I’m never wrong'. And this isn’t wrong either it's just a correction!

West Coast Blues (and a Little Rocky Mountain High)

The West got hit the hardest sales wise. Probably because everyone's busy paying for avocado toast and complaining about traffic. But hold on! The Rocky Mountain states are booming. Maybe everyone's finally figured out that you can have stunning scenery without the crippling cost of living. Smart move. I might just move Starbase to Colorado... just kidding... unless?

Mortgage Rates: The Unsung Villain

Ah yes mortgage rates. The silent killer of dreams. They were hanging out above 7% earlier in the year which is about as appealing as a cold shower in January. No wonder people were hesitant to jump into the market. But don't despair! Rates dipped a bit later in February so maybe we'll see a rebound soon. Or maybe we'll all just live in tiny houses and commute via SpaceX rockets. Either way progress!

Inventory Surge: Is This the Dip?

Finally some good news! Inventory is up almost 20% from last year. That means more houses to choose from and potentially lower prices. Could this be the buying opportunity we've all been waiting for? Maybe. Or maybe it's a trap. Just kidding! Probably not. But always do your due diligence. As I have often said: 'It is important to view knowledge as sort of a semantic tree — make sure you understand the fundamental principles i.e. the trunk and big branches before you get into the leaves/details or there is nothing for them to hang on to.' This is like the trunk of a huge knowledge tree right here!

Prices: Still High But Cooling Off?

Alright let's talk money. Median home prices are still at an all time high for March but the rate of increase is slowing down. This is good! It means the market is starting to stabilize. Of course $403,700 is still a lot of Dogecoin but hey at least it's not going up exponentially anymore. To the MOON! Well not prices... at least not *too* much. This is where you have to consider my infamous saying: 'People work better when they know what the goal is and why. It is important that people look forward to coming to work in the morning and enjoy working.' So be happy about what you have and why you are investing.

First Time Buyers and Investors: A Mixed Bag

First time buyers are still struggling to get into the market making up only 32% of sales. C'mon people we need to get these folks into homes! Maybe we should start a crowdfunding campaign to buy everyone a house. I'm only half joking. And investors? They're still lurking around but not as aggressively as before. Probably waiting for the market to crash so they can swoop in and buy everything up. Classic. 'I think it is possible for ordinary people to choose to be extraordinary.' And buying a home is the first step to becoming extraordinary