Real Estate market in Central Florida seems to be in a transition period due to rapidly rising interest rates.
The Federal reserve wants to rein in inflation using interest rate increase since home prices have increases rapidly in past few years. As we can see in data below, rate increase has direct relation with sales and inventory of homes available. The consensus so far is next year, interest rates increase will stabilize and potential rate decrease in future. Some economists think that the federal reserve has gone too far to tighten money supply with higher rates but I think they are afraid of inflation getting out of control and they would rather err on the side of caution.
The underlying economy is still very strong and I think this is a healthy return to more of a normal market where Buyers and Sellers can negotiate on equal ground.
Login with Google