Industry experts say real estate normalizing after 'sugar rush'

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Industry experts tell San Antonio real estate professionals that the 2023 market outlook is one of potential balance.

The San Antonio Board of Realtors reported in November that home sales continued to decrease throughout 2022. Just under 34,000 homes sold in the San Antonio area through November 2022, down 8% from the year before.After a tumultuous 2022 marked by a sharp slowdown in demand for residential real estate, San Antonio real estate professionals and consumers are left wondering what it all means for 2023.

But industry confidence varies by sector, she said, with overall demand for industrial space and multifamily housing making those property types an attractive investment in the current economy. “The housing market had one of the most dramatic reversals in 2022 as rising interest rates and stubbornly high prices have driven the national affordability rate down by 37%,” Waldrum said, adding that with interest rates and low inventories, it’s difficult to see that situation reversing any time soon.San Antonio Board of Realtors

The price of homes in San Antonio, however, did not fall. The average price for houses sold last year was $380,176, up 13% from November 2021. Meanwhile, the median price for all homes sold in 2022 was $323,000, up 14% from a year ago. But this might be the year it moves away from what has been a very strong seller’s market to one that’s more balanced.

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