August is here and our Homes of Silicon Valley team wishes you all the best in this new month! For many, this time of year marks the unofficial end of summer and return to school. For others this might be the time of your last beach vacation or the start of strategizing some new fall goals.

As we close out summer, the latest California Housing Sentiment Index has been released and the results are not surprising. Inflation, rising interest rates and home price adjustments not seen in years are creating many ‘half glass empty’ perceptions of the market. Understandably, buyers who have been priced out of the market or sellers who feel like they waited ‘too long’ may be feeling discouraged. The silver linings of the market changes are that more homebuyers believe it will be easier to find a home over the next 12 months, and that home prices are unlikely to surge in the next year. The infographic below summarizes some of the prevalent responses with regards to housing today.

While the market changes definitely present an opportunity to stop and pause, we would not advise eliminating all market moves all together. Forbes recently published some advice that makes a great deal of sense & cents: “Trying to time the market or predict what might happen next year is not the best homebuying strategy. Instead, it’s better to buy based on your budget and needs. If you find a home you love in an area you love and it also fits your budget, then chances are it might be right for you. However, if you make too many sacrifices just to get a house, you may end up with buyer’s remorse…”.

If you have been following our Homes of Silicon Valley Facebook page, then you know that last week we shared a post about “marrying the house but dating the rate.’ If you find a home you love that is in your budget – and you can comfortably make the current payments – go for it! The rate might not be the best part of the package, but the home is forever and the rate does not have to be. (Always work with a trusted mortgage professional to review program options and what a refinance would entail down the road.)

If you have any questions about buying and selling in this market in your neighborhood, please do not hesitate to reach out. A fresh month is just the right time for a fresh perspective!

~ Mark