Real Estate Prices - Are they really dropping?

There's no doubt that the real estate market has shifted in the past few months. We are seeing more and more price reductions, which has led many to believe that home prices are dropping. So what's really happening?

The rise in interest rates, an uncertain economy and inventory levels climbing has created a shift in the market. Buyers are becoming more cautious and are taking their time when making such a large purchase. This is leading to more homes sitting on the market longer and ultimately, sellers having to reduce their prices in order to attract buyers.

While it may seem like prices are dropping, we are not seeing a decrease in values across the board. In fact, in many cases, prices are still rising, just at a slower pace than we've seen in the past few years.

So what does this all mean for you? If you're thinking of buying a home, now may be a great time to start your search. However, don't expect to find huge discounts on properties. And if you're thinking of selling, it's still a good time to do so but you may have to be prepared to be flexible on your asking price. As always, it's important to consult with a REALTOR® to get expert advice specific to your situation.