Deceleration Does Not Mean Depreciation. So What Are The Differences?

When it comes to homes for sale in Dallas, the runaway seller's market seems to be slowing. That's called "deceleration," which is different from "depreciation." The single difference is that depreciation means that home prices are dropping whereas deceleration means that they're still increasing albeit at a slower pace than before.

It's interesting to note, too, that home prices haven't just exploded since the pandemic. They rose for the eight years prior to the pandemic as well. They just didn't rise as fast from 2012-2020 as they did from 2020-2022. They accelerated slowly, exploded, and are now decelerating even though they're rising.

Where Are Prices Going in the Future?

For the foreseeable future, most lenders are predicting continued appreciation. The slower rate will also continue, so the consensus is that the deceleration has stopped. The new rate is now considered the baseline. Prices could accelerate or decelerate further. No one is 100% sure which will happen or even if prices will begin to depreciate.

What to Do With the Information You Have?

The chief economist at First American Corporation says that demand is still outstripping supply, so prices won't depreciate in the near future. The best idea is for you to keep an eye on the home-buying trends in Dallas and make carefully considered choices regarding buying or selling your home. It's a big step in your life, and you want to ensure that you are making the right decisions.

The "Professional Effect"

Internet searches on Google will only give you part of the total perspective. While it is a good idea to inform yourself, it is an even better idea to consult a real estate professional. Professional realtors have not only additional knowledge but also experience. Their trained eye can spot trends and make well-reasoned recommendations.

When the time comes to sell your home or buy a new one, such professionals will help you wade through the mire of paper that accompanies real estate transactions. You certainly don't want missing signatures or other errors to derail the process. Professionals will also have high-powered computer software on their side that will aid you in your quest to buy or sell a home.

Also, depending on where you live, you might have to have a lawyer involved in the transaction. The combination of applicable federal, state, and local laws is daunting, and a real estate professional will be able to help you sort it and advise you if a lawyer is a necessary part of the equation.

In Conclusion

Home prices aren't going down. They're just going up more slowly than before. Having a professional on your side is your best option for a successful, profitable, and rewarding real estate transaction. Contact us today to book an appointment to find out more.