North Texas Realtor Shares How to Navigate a Cooling Housing Market on the Heels of Another Interest Rate Hike

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How to navigate a cooling housing market on the heels of another interest rate hike

"Yes, it has surprised me a little bit, but the right buyer is out there," said realtor Joanne Condi, of Remax DFW Associates in Frisco.

Condi said North Texas' red-hot housing market is cooling after a strong summer with low-interest rates and competition pushing up prices.These days, only a handful of prospective buyers show up for open houses. Sellers and buyers must now contend with increasing interest rates, fewer showings and a bigger inventory.Condi said inventory in and around Denton is now holding at two months, but doesn't anticipate North Texas will experience six-month inventory which would signal a balanced housing marking for both sellers and buyers."Krum, which is just north of here, has started to drop their prices," she said."Frisco has also continued to drop their prices.

"It's a little pricey. It can be $1,000-$2,000 sometimes depending upon the buyer's credit score and how much they're putting down," said Condi of buydowns."There are some lenders out there that are even doing a two-point buydown and can get it down to the 5%. So, for the first year, you might have it at 5.5%, the second year of your mortgage it may be 6.5% and then the third year is going to go back to what your mortgage locked in.

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