Welcoming news to all in the Real Estate Industry is the Federal Reserve Chairman Jerome Powell stating that the fed will start to curtail it's rate in increases in 2023. Word on the financial markets is that the rate increase to be announced at their monthly meeting this December 2022 will be 1/2%, down from the previous four monthly meetings of 3/4%.

This is a step in the right direction for financial and real estate markets and good news for Buyers and Sellers. Look for this trend to continue in 2023 and I believe early this summer that we will see inflation numbers coming down considerably. I look for the Fed to start lowering rates later in 2023 or early in 2024. This will help the real estate markets to pick up.

With that in mind, it also means that more Buyers will start to come back into the market and sales will improve. Prices will then start to stabilize later in 2023 from their recent declines of about 13% in the last year in our local Coeur d'Alene market. So 2023 might be the time to be looking to purchase, especially for Buyers with a lot of cash. Good inventory, prices heading towards stabilizing, few multiple offers and Sellers open to negotiate on their price.

What do you think? Questions or comments are always welcome. You can comment below.

Mike McNamara