May Market Update: The Housing Market Just Shifted—Now What?

Let’s talk about what’s really going on in the real estate market this month—because if you’ve been reading headlines, you might think the sky is falling… or that we’re heading into another boom. The truth? It’s somewhere in between.

Mortgage rates have finally dipped below 7%. It’s not a dramatic drop, but after the rollercoaster we’ve been on, anything under 7 feels like progress. Still, that small shift isn’t sending buyers into a frenzy. Many are cautious. Rates are slightly better, but affordability is still a stretch, and buyers are being selective and strategic.

Now let’s talk about the Fed. Inflation is improving, but not enough to trigger any real action. Instead of cutting rates, they’re holding tight—waiting, watching, and sending mixed signals. And that indecision is keeping the market in a holding pattern.

Yes, inventory is up compared to last year—but let’s put that into perspective. Homeowners who locked in 3% interest rates are staying put. Can you blame them? With low payments and no urgent need to sell, most are simply riding things out. That’s why resale inventory is still limited.

The one segment that is moving? New construction. Builders are doing their best to fill the gap. They’re offering incentives, buying down interest rates, and making their homes as appealing as possible. But even with those efforts, they’re not building fast enough to truly shift the balance. Right now, most of the action is coming from that side of the market.

So what does this mean for sellers? Expectations need to be in line with today’s market. This isn’t 2021. Buyers have more choices and they’re negotiating. Sellers who are successful now are realistic—they price their homes right, prepare them well, and have a smart game plan.

In short, we’re in a market that’s adjusting. It’s not crashing, and it’s not surging. It’s just... finding its footing. And while the news headlines might make things sound dramatic, real estate isn’t about hype. It’s about strategy, timing, and knowing what matters most for you.

Here’s what to focus on:

If you’re buying: Think beyond the interest rate. What matters most is the monthly payment and whether the home fits your lifestyle and long-term goals.

If you’re selling: Presentation is everything. A clean, well-staged, well-priced home with a thoughtful marketing strategy will still stand out and sell.

So yes, the market is a little messy right now. But with the right guidance, it’s absolutely manageable. You don’t need to panic. You just need a plan—and someone who’s in the market every day, keeping up with what’s really happening.

If you’re thinking about making a move, or just want to know how these trends affect your plans, I’m here to help. Real advice. Real strategy. No hype.

Let’s make smart moves together.