Buying a house: What you need to know about the current real estate market

Buying a house: What you need to know about the current real estate market

The real estate industry has continued to evolve in recent years, but last year in particular saw a significant change. Low interest rates and a stagnant market created a gridlock that caught both buyers and sellers unprepared. The rapid increase in interest rates by the central banks brought unrest to the real estate market, resulting in a decline in the overall market by around ten percent. This left many property seekers unsettled and with many unanswered questions.

Despite the assumption by many that home prices would fall significantly due to the rise in interest rates, the decline was comparatively moderate at just under three percent for 2023. After years of boom and explosive price increases, there was hope that prices would finally fall back to a realistic level. However, the reality was different as prices only reduced by a small percentage.

For potential home buyers, this development means a phase of uncertainty and disorientation. After a period of little movement in the real estate market, many people are now confused about how to proceed. In order to make the right decisions in this situation, it is essential to be comprehensively informed and to keep an eye on important aspects such as interest rates, condition and time. It is therefore advisable to consult with experts and carefully examine all relevant information before making a purchase decision.