TAG December 2023 Newsletter
Is Our Market Thawing Out?
In the heart of Alabama, the real estate market in Huntsville is holding onto a festive hope that Santa might deliver a special gift this holiday season – lower interest rates. We are eyeing the potential impact of decreased interest rates on the local market, anticipating a needed boost for both homebuyers and sellers. Lower rates could mean increased affordability for potential homeowners, stimulating demand and possibly driving up property values. Additionally, existing homeowners in Huntsville may find it opportune to explore refinancing options, freeing up additional capital for other investments or home improvements.
Huntsville has recently seen a cooling trend in the real estate market. May saw a high of 605 single-family homes sold in Madison County. There were only 416 sales in November. The good news is that the average price remains steady at $375,000. Sellers are having to negotiate close to 4% from their original list price, which is a drastic change from the days of multiple offers. Interest rates have ticked down to about 7%, which is down from its October high, where they were close to 8%. If rates can slip closer to 6% in 2024, we could see more buyers enter the market.
-The Abercrombie Group
TAG invited all clients out for a fun night of pictures with Santa!