Purchase applications are down and the market is softening up. We are even seeing price drops that we weren’t expecting. Is it because of the weather? Or maybe it’s because of the COVID-19 pandemic getting under control? Check it out!
Paul Apostolakis 0:00
Right. It’s weird because Sal purchase applications year over year are down 24%. And I think a big part of that are these cash offers. I don’t think there’s any less demand. I think there’s just a lot of cash offers right now, which is interesting. Sal we were talking about the market kind of softening a little bit, and we’re seeing some more houses on the market deals getting accepted. Is that what you’re seeing and feeling on the front end?
Salvatore Cusumano 0:23
Yeah, I mean, I see a lot of price drops, you know, they hit my email lately. Which is odd considering.
Paul Apostolakis 0:32
I’ve seen thaIs itt. a lot of price drops.
Salvatore Cusumano 0:34
It was like a light switch. You know, like, it was all I mean, it was crazy hot. And then now all of a sudden, I mean, it’s still hot. Don’t get me wrong, but it’s not as crazy as I feel it was, you know, I’m getting some FHA offers accepted. I’m getting some other things accepted. So I feel like yeah, I mean, things might be stabilizing a little bit more inventory hitting the market a little bit. Yeah, you know, it’s green out. Warm, you know, COVID It’s not over but pretty much right. Things are should go back to normal. So, yeah, I mean, it’s still definitely a, you know, seller’s market. There’s still not a ton of inventory, but either I feel like some buyers probably exited the market. They’re just like, screw it. Yes. You know, I’m gonna wait because -fatigued- for three months, you know, four months, a year, whatever it was, and just come back in when things are a little less crazy. So I don’t know, I do feel like it’s softening a little bit but that’s not a bad thing. I think it was a little unhealthy before especially with what it was doing to these prices of the appraisal guarantees It was like a hyper inflation on prices.