Editor’s Note: Each Friday, WRAL TechWire takes a deep dive into the Triangle’s real estate markets. In recent weeks, we’ve covered how to win in the Triangle real estate market as a buyer and how sellers can prepare a home for sale in order to get top-dollar offers. Both of those articles may be of interest, given that multiple Triangle real estate agents told WRAL TechWire this week that the start of 2023 is set to be more challenging than the beginning of 2023.
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RALEIGH – Navigating the Triangle real estate market will be tougher at the beginning of 2023 between the higher cost of homes and the higher costs of borrowing to buy a home compared to the beginning of 2022.
And the region’s real estate markets may be tough for both buyers and for sellers, multiple local real estate agents told WRAL TechWire in interviews this week.
That’s because of the rapid price appreciation that buyers, sellers, and observers experienced in 2021 and in the first half of 2022, said Tony Fink, a licensed real estate agent with Linda Craft Team REALTORS. But that’s not likely to continue in 2023, as mortgage interest rates have more than doubled than a year ago, according to the latest data from Freddie Mac, released on Thursday.
“Owners need to understand that prices rose noticeably in 2021 and 2022, driven in part by artificially low interest rates,” said Fink. “And rising incomes.”
Still, one trend – the Triangle continuing to be one of hottest in the country – may continue to persist, or even intensify, in 2023, said Fink.
That’s because fewer home sale transactions are expected. Owners who may otherwise choose to sell and buy a new house might instead decide to stay put amidst economic uncertainty and higher