For Buyers: Hey, home shoppers! That balanced market we were all loving? It zipped by in just 7 weeks! Last month, the Federal Reserve played fairy godparent to the housing industry – no hike in the Federal Funds Rate and a teaser of rate drops in 2024. The mortgage world responded like it just heard its favorite song, with rates dancing down from 7.1% to 6.62% in two days. Now, rates have tumbled 1.4% since their 8% peak in October 2023. What's that mean for you? Think nearly $380 saved monthly on a $400,000 loan. 🤑💃

December was kind of like a holiday sale – 49% of sales included a sweet deal where sellers chipped in around $10,000 at closing. The new construction scenes in Coolidge and Laveen led this trend, with a whopping majority offering concessions to buyers.

So, what's up for 2024 in Greater Phoenix? Think less rollercoaster, more merry-go-round. We're not expecting price dips, but comfier mortgage payments are on the horizon. The market's not likely to hit the dizzying highs and lows of the past few years, so the first quarter might feel a bit 'meh' on price excitement. But hold on – more traditional homebuyers are jumping back in. And keep an eye on the Federal Reserve's next move; it might just spice things up!

For Sellers: Sellers, we've waved goodbye to the balanced market, but we're not exactly in power mode yet. The recipe for success? A good-looking home plus a smart price tag. Keep an open mind about making deals, and you're golden.

Early January brought in more listings than last year, but we’re still playing catch-up – inventory's 37% shy of the usual. The market's got a mix of everything: from sellers' playgrounds in Tolleson and buddies to more balanced vibes in Tempe and co., all the way to buyers' havens like Cave Creek.

January's sale prices are going to reflect the December dance of deals, but with lower mortgage rates and those friendly concessions, we could see a steady first quarter. And if rates keep nosediving? Get ready for a potentially lively second quarter!

Pro Tip: Chat with a pro lender to see how this all plays out for you.