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When Will the Real Estate Market Begin to Cool Again?

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Typically, the real estate market experiences cycles of growth and shrinkage, with alternating conditions that favor sellers and buyers.

Most people know that the real estate market has been “hot” for the past few years, with home prices skyrocketing in nearly all areas and limited inventory, driving up competition for buyers.

As you might imagine, the answer is complicated. While a market crash is always a possibility, it isn’t particularly likely; in other words, prices won’t drop overnight. Instead, we’ll likely see a gradual transition, over the course of months, or even years, as the real estate market settles down.

What remains to be seen is just how much of an impact that cooling period will have and when it will begin to sink in. In the meantime, think carefully about your real estate investing decisions and don’t try too hard to time the market.

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