Potential homeowners are struggling with an unstable market in Pittsburgh
PITTSBURG (KDKA) – Housing prices across the country continue to rise, but a local realtor said people who want to buy in Pittsburgh have a glimmer of hope.
Although the O’Neill family is comfortable in their apartment in Monaco, they won’t stay long. The couple has two young sons and a child.
“It’s a two-room, we need a three-room. It’s a little difficult. It would be especially good to have a four-room, because then all the boys can have their own room,” said Franklin O’Neill.
They started looking for a home last summer and really increased the search about two months ago. But looking at a dozen homes in Beaver and Lawrence counties, no luck.
“Either the seller does not want to use a government-backed loan, or the houses have problems, and with the cost of houses fix it too much. He will not pass the test, ”Franklin said.
Once they found something that worked, they went with a strong offer and still lost after someone made inflated bets.
“About $ 118,000, and he bet it was about $ 130,000,” Courtney O’Neill said.
Bob Friend with Howard Hannah said it’s not uncommon now.
“We had a lot of buyers who lost six or seven homes, and the agent is doing everything he can,” Friend said. “We’ve seen homes worth $ 700,000 that have been sold for $ 825,000 because of several offers.”
A friend said the housing market has become so competitive for several reasons. One of the reasons is a pandemic. He said it has made some families realize they need more space for remote work. Another reason – investors are filling the market.
“Many investors are with large groups with big cash coming in, and they’re buying what might be a home for the first home buyer,” Friend said. “They invest a little money in it and then flip it over or sit on it, hold it and rent it out.”
If you are struggling to find a home right now, you may want to consider renting. But Howard Hannah said the rental market has also become competitive.
“If you can’t find a house, it may force you to rent a house or an apartment for 6-12 months. Stable supply and high demand will lead to higher rental rates,” said Friend.
The O’Neills family said they may have to consider renting if they can’t find a home in their price range.
However, Friend said it seems that the housing market is slowly beginning to stabilize.
“The inventory is growing. Last month we had about 2,800 homes, and now we have 3,500 homes,” said Friend.
He hopes higher interest rates from the Fed will help.
“I think that as interest rates rise, it will slow things down a bit and normalize the housing market,” said Friend.