Joe Biden was inaugurated on Wednesday as the 46th President of the United States. Generally speaking changes in Presidential administrations has a nominal effect on local and regional real estate markets. Over time presidential policies can have a negative or positive impact on the economy and that can affect the real estate markets.
Our local market continues to have a low level of resale inventory. Local builders are rather busy building brand new homes which are also having no problem selling. This makes the market very tight for buyers. One thing that buyers must understand is that budget and desire are more separated in this market than just about any other time. Picky buyers may get priced out of the market entirely if they try to find the "perfect house." At $400k the perfect house is probably non-existent and if it does exist it may be $450k before the buyer finds it.
Buyers may have to settle for something less than ideal, but a home is as much a utility device as it is an investment or luxury. Owning your own home comes with additional responsibility but in exchange offers you freedom and the opportunity to grow your net worth over time. The house you settle for will still give you the growth opportunity and utility and a few years down the road the buyer that settles today will have a much better position tomorrow to get much more house than they wanted this go round.
Buyer should be careful not to let the market pass them by. Many more people want to live in our area than want to leave. That is a strong indicator that absent an economic crisis, prices will continue their rapid ascension.
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