If you're considering selling your Brevard County home, you likely want to ensure that you maximize your sales price and potential profit. If you've recently had your home valued and the estimated
Rising Interest Rates: What This Means for Sellers in Brevard County
Dated: September 16 2022
A combination of historically low-interest rates and high buyer demand has seen Brevard County experience an unprecedented seller's market over the past couple of years. However, with the Federal Reserve's recent actions to quell inflation, money has become more expensive for buyers to borrow — resulting in less demand and homes sitting on the market a little longer. So what does this means if you're considering selling your home in Brevard County? Keep reading to find out everything you need to know about rising interest rates and how it affects sellers in Brevard County.
Do Rising Interest Rates Affect Brevard County Property Values?
Rising interest rates have an effect on both buyers and sellers. However, rising mortgage rates don't always negatively impact property value if the economy experiences enough growth. For example, if mortgage rates increase by one point and the average monthly payment increases by $238, in a strong economy, employers can increase salaries enough to compensate for the increased interest rate. Put simply, as long as the economy continues to grow and buyers experience wage growth, a rise in interest rates should not be detrimental to the housing market.
Is It a Good Time To Sell Your Brevard County Home?
Even with rising interest rates, property values in Brevard County have not fallen. This is because the available property inventory in Brevard County is still lower than the current demand. For this reason, even with rising interest rates, it's still a good time to sell your Brevard County home. However, it's important to note that should interest rates rise very rapidly; it could cause the housing market to cool significantly. In this instance, if you're thinking about selling your home, it's best to list it as soon as possible while demand is still high and interest rates are still low.
How Do Rising Interest Rates Affect the Sales Process?
If rising interest rates cause demand to slow and house prices to fall, Brevard County sellers may find that buyers have more bargaining power than they used. In a hot seller's market, many buyers are willing to forgo contingencies and repair requests to beat the competition. However, increased mortgage rates could cause buyers to be more selective — or demanding — during their negotiations.
Sellers should also be aware that buyers who were previously preapproved to purchase may run into issues at closing if the interest rate increases significantly. It's essential that sellers consider the buyer's ability to close in the event that the interest rate increases. If a buyer is already at the maximum of their budget and no longer qualifies after a rate increase, the seller may find themselves having to put their home back on the market. To avoid this, sellers should work with their real estate agents to find highly qualified buyers — especially those who have lending options. It's also a great idea for buyers to lock in their rate as soon as possible so you don't run into any unexpected surprises before the closing day!
Sell Your Home In Brevard County
If you're thinking about selling your home in Brevard County, speak to one of our property experts today. The licensed realtors at Realty World Curri Properties have helped thousands of sellers in Brevard County streamline their home sales. As trusted advisors, we guide our homeowners through each part of the sales process to ensure they achieve the highest possible price when selling their homes. Click here to learn more about how we can help you sell your Brevard County Home for top dollar.
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