We are starting to see a lot more home inventory for sale in El Dorado Hills as mortgage rates have increased along with the prices of many day-to-day necessities.
There are currently more than twice as many homes for sale in EDH as there were last June.
However, before anyone starts calling this a market crash, there are still fewer than half as many homes for sale as there were in June of 2019, pre-pandemic.
A “balanced market,” where buyers and sellers are on equal footing is when there is between 4-6 months of inventory on the market.
Right now, there is just about 2 months of inventory for sale.
So, while the trend is in buyers’ favor, the advantage is still on the sellers’ side of the market statistically.
And, while mortgage rates have topped 5%, they are still below the 7.71% historical average over the past 50 years.
Sometimes numbers are a matter of perspective… 5% mortgage rates were low when rates were dropping. Today, even though they are rising, rates are the same 5% they were when rates were dropping!