Are there enough houses to go around?
COLUMBUS, Miss. (WCBI)- If you’re in the market to buy a house, you may be hesitant to pull the trigger due to a hike in interest rates.
Realtors say it’s still a buyer’s market and you’re better off owning than renting.
Interest rates are up, and that can cool home buying but with industry growth and an abundance of buyers in the area, realtors who spoke with WCBI feel confident about the Golden Triangle market. The question is -are there enough houses to go around?
“It’s just… it’s ridiculous,” said Kayla Anastasio. For the past couple of years, Kayla and her boyfriend have been hopping between apartment complexes looking for a decent place with reasonable rent.
With no luck… they’re ready to own.
“There’s no reason that I should be paying 800 dollars a month when I could be paying that towards a mortgage,” said Anastasio.
Realtor for Remax Colin Krieger is got his hustle on in August. He said about three months ago, a home like this would have been off the market in no time but the market is facing a seasonal lull.
“Since the early spring, the market softened a little and sort of normalized,” said Krieger. What agents are doing now is working harder. Showing houses to other agents, doing open houses for people on the street -the normal client looking for a buyer. You just gotta get out a little more and beat the streets.”
Inflation has taken its toll, and interest rates are up, but Brandon Shaw, a realtor for Crye Lieke, said the workforce and the Air Force Base in the Golden Triangle will keep buyers coming.
“Joe Max Huggins has done a great job at the LINK to bring these industries to the Golden Triangle,” said Shaw. “The more jobs we create the more housing we’re going to have to have.”
But are there more buyers than houses?
Shipping issues may be putting a pause on new home building, leading to low inventory.
“Material like windows and stuff like that, all that’s on back order and it’s taking a long time to get that material in,” said Shaw.
For Anastasio and her boyfriend, the transition has been a struggle, “Either the condition of the house is just pretty deplorable for what the market is right now or I’m having people deny me because of my age. I have had real estate agents that won’t even talk to me because of my age.”
Anastasio is 21 years old.
Despite personal struggles and a spike in interest, realtors say it’s still better to rent than own.
“The investors have to buy the rental houses and they’re having to pay a premium price for the rental houses so to make up for their mortgage payment, they’re actually having to increase their rent,” said Shaw.
“Still very very affordable compared to rent and definitely very affordable compared to other parts of the United States,” said Krieger.
As of Tuesday, August 16th, there are 299 residential listings on the market in 8 counties for Crye Lieke’s service area.
In February there was a record low of 219 residential listings.