There were many predictions about what 2023 would be like for real estate back in January. We even posted a couple of articles ourselves with predictions and thoughts. You can read one of those January 2023 predictions and forecasts for real estate here. We are now over half way through the year. How are the forecasts holding up? We have done a review and update which can help inform you regarding the last half of the year and what you can likely expect.
What Were The January 2023 Real Estate Market Predictions?
In January 2023, many real estate experts predicted that the Pennsylvania housing market would slow down in 2023. They cited rising interest rates as a major factor. Home prices were expected to taper off, some experts thought significantly. They also predicted that inventory would remain tight, which would continue to put upward pressure on prices and perhaps act as a balance to other more negative factors.
What Actually Happened With Pennsylvania Real Estate Markets So Far in 2023?
We are now over halfway through 2023. So far experts have found that some of the negative predictions about massive market slow down, recessions, and economic housing crashes have been over-hyped. According to Houzeo, so far in Pennsylvania, Average Home Prices: The average median home price in Pennsylvania is $265,800, up by 0.3% YoY. In 2023, experts predict the median sale price growth to drop by roughly 4%, the first annual drop since 2012. Currently, the sale-to-list price ratio is at 99.2%, with a decline of 1.8 pt YoY as of April 2023.
Al Perry, President of the Pennsylvania Association of Realtors stated in May of this year that, ““The median sales price in May is higher than the peak price we saw last year … “We’ve continued to see the median price increase each month since January, with a 4% bump in May.” He went on to say in a press release, “The housing market continues to grapple with an inventory shortage. We have robust demand from homebuyers, along with rising prices, making it a challenging environment for many homebuyers,” Perry said. “With just a little more than three months of inventory available, we continue to see multiple offers and houses selling over the asking price because of the competition.”
What to Expect From Pennsylvania Real Estate Markets In The Last Half Of 2023
Real estate experts are still predicting that the Pennsylvania housing market will be fairly strong in the last half of 2023. However, they expect some cooling off in the market. Home prices are expected to continue to rise, but at a slower pace than in the first half of the year. Inventory is also expected to increase slightly, which could help to moderate prices. Real estate housing experts at Houzeo give at least five reasons that the housing market in Pennsylvania may slow but not crash in the last half of 2023.
- Low Inventory
- Low New Housing Construction
- New Buyer Still Entering the Market
- Strict Lending Standards
- Fewer Foreclosures
Selling An Older Home In Pennsylvania In The Last Half Of 2023
If you are planning to sell an older home in Pennsylvania in the last half of 2023, you should be aware of a few things. First, you may need to be prepared to accept a lower price than you would have gotten in 2022. Second, you may need to be more willing to make repairs or improvements to your home in order to make it more appealing to buyers. Buyers are looking for move-in-ready homes. Especially those buying in the later part of summer and into the fall and winter months. Repairs and clean up become less desirable as we head into the cooler and more inclement weather. Buyers in general are typically looking for homes in great condition and ready to purchase and jump right into life in a new home. Experts advise buyers to purchase move-in-ready homes for many reasons including less stress, time savings, and cost savings.
Why You Should Consider Selling To A Professional Cash Buyer In Late 2023
If you are selling an older home in a smaller area of Pennsylvania, you may want to consider selling to a professional cash buyer. Older homes in need of extensive cleaning, major redecorating or repairs will tend to sell even slower and lower in the last half of 2023 for the reasons listed above. This may include houses that are setting vacant, have roofing issues, or houses with mold problems. However, cash buyers do not require repairs, clean up, or redecorating. Cash buyers are typically able to close quickly and without any hassle. This can be a great option for sellers who are looking to sell their home quickly and easily.
Professional homebuyers like 717 Homebuyers specialize in properties that need repairs. They can provide you with an offer for your home quickly and easily, allowing you to move on from poor housing market influences and without having to worry about extensive repair costs.
Working with a professional homebuyer is a great option for sellers who need to quickly and easily sell a home during a time of economic uncertainty. 717 Homebuyers can offer fast, straightforward offers. You can read more about how we operate here. We have a great reputation for integrity and fairness. You have nothing to lose but your anxiety about the market and the burden of an older home hanging over your head. Call us today at 717-639-2164 or fill out the form here on our website for a free no-obligation offer.
About Josh Eberly
A native of Lancaster County, Josh’s roots run deep in his commitment to this community. He especially enjoys helping people find solutions through real estate. Josh is a seasoned investor with experience in many sides of buying and investing in real estate. Josh enjoys reading, listening to podcasts, digital marketing, and hanging out with his family. Feel free to connect with him here.