Rates are Dropping Tides are Changing, but Who is Changing with the Market?

The answer? Investors!! They’ve been sitting on the sidelines waiting for a parting of the seas and they’re seeing it.

For anyone who has had money invested in the stock market they have been enjoying a really strong bull market. Over the course of the last two years, the Nasdaq is up by over 80% and the Dow Jones is up by over 40%.

Real estate investors have been battling high rates, higher prices and tenants who are less inclined to move because the job market has tightened up so much. However, things are changing. Rates are dropping and we have what looks like a path forward to more rate cuts. We have stagnant inventory. And because there isn’t a lot of mobility, when people do move, they oftentimes want to head to premier locations.

We’ve got a perfect storm for investors:

1. More money courtesy of the stock market.
2. Lower interest rates on the horizon.
3. Less turnover because tenants are just happy to have the jobs they have.
4. Less turnover also means less inventory for those looking to move to the area.

Things are looking very promising for investors. The investors will also likely continue to drive our market until more individuals feel more confident with their employment and decide that it is time to upgrade their homes.