San Antonio Real Estate Cools This Summer

This summer, the housing market in San Antonio is seeing unusual trends, with sales and prices not spiking as they typically do. Experts attribute this slowdown to the current high mortgage rates, impacting buyer decisions and keeping homes on the market longer than expected.

A Shift in San Antonio’s Summer Housing Dynamics
This summer, San Antonio’s housing market is showing signs of cooling, contrasting with the usual surge in sales and prices seen in previous years. Spencer Skubik, an Associate Broker at Becker Properties, notes a marked slowdown, with homes lingering on the market longer due to increased inventory and competition.

High Interest Rates Dampen Buyer Enthusiasm
Elevated interest rates are primarily blamed for the sluggish market. The San Antonio Board of Realtors reported a 3% drop in house sales in May 2024 compared to the previous year, highlighting buyer hesitation as they anticipate lower rates that have yet to materialize.

The Impact of Rising Rates on Buyers
Potential buyers, like Alberto Trujillo, express reluctance to purchase in the current financial climate due to significantly higher interest rates compared to previous years. This hesitancy is leading many to delay buying decisions, hoping for a shift in rates that could make new mortgages more manageable.

Real Estate Professionals Adjust Expectations
Real estate professionals are adjusting strategies, advising sellers against overpricing, as the higher inventory levels demand more competitive pricing to attract fewer active buyers in the market.

The Bottom Line
San Antonio’s summer housing market in 2024 is deviating from its traditional boom, primarily due to persistently high interest rates that discourage both new buyers and those looking to upgrade. As the market adapts to these economic pressures, both buyers and sellers must recalibrate their expectations and strategies.

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