Last week’s episode of the Knowledge Brokers Podcast was one to bookmark if you’re one of many real estate agents (and humans in general) who would love to live next door to a chief economist who also happens to be as genuinely warm and approachable as she is brilliant.
But if you can’t live next door to her, watching this episode could be the next best thing.
If you’ve got questions about how all the changes going on could impact your market and your business—a.k.a., the thing that pays the bills—this is one episode you don’t want to miss.
Danielle Hale, Realtor.com’s Chief Economist, joined Byron Lazine, Lisa Chinatti, and Tom Toole to discuss a bundle of hot-button issues and what they mean for real estate agents.
Hale shared a conversation she had with her neighbor—who lives in the D.C. metro and is hesitant about buying due to uncertainty in the market. Hale’s advice? If you find the right home, go for it. And her conversation gives agents some brilliant scripting points to use in conversations with homeowners and buyers.
If you haven’t heard this episode yet, block out some time for it this week.
Script Point #1: Understanding Local Market Dynamics
Hale explained that while housing inventory is increasing in some parts of the country, the Northeast—including D.C.—is still experiencing a shortage:
“We are seeing inventory grow in many parts of the country, but not everywhere in the Northeast. We are still seeing it lag behind… We’re seeing more building in the South and the West. And so that is making a difference with inventory. And prices are determined by market forces…supply and demand. So if you have supply that outpaces demand, you’re likely to see some price softening. And the opposite is true; [where] demand outpaces supply, you’re going to see prices go up.
“You want to look at national numbers to understand the broader context, but what really matters is what’s happening in your market. And we are going to see some different trends depending on where people are already.
“When we look at our national numbers, we track inventory more than sales at Realtor.com. And what we have found is that prices have essentially already softened when we’re looking at listings. And that’s because we’re seeing more listings that are smaller and in those lower price points and in geographies where real estate is generally more affordable…”
With supply remaining tight, home prices in D.C. are likely to continue rising rather than softening significantly. According to Realtor.com’s data:
- Prices have already softened in some areas due to smaller, more affordable listings hitting the market.
- Despite this, prices per square foot continue to rise, meaning individual homes are still appreciating.
- The long-term economic strength of D.C., with its educated workforce and diverse employment base, supports housing demand.
Script Point #2: Timing Your Purchase
Hale emphasized that no one can predict the future with certainty, but for her neighbor’s situation—wanting a bigger home and planning to stay in D.C. long-term—buying now made sense.
“I think there are always reasons to be uncertain in the housing market. My advice to them is to keep their eyes open. I know their context and that they are ready for a bigger place. It’s not absolutely essential, but they’re ready for it. So my advice is to keep your eyes open and when you see the home that is a good fit to go for it.”
Script Point #3: Personalizing the Decision
Podcast co-host Byron Lazine backed this up, stressing the importance of understanding clients’ long-term plans:
“Really the only time when it’s not…time not to buy [is] if you are thinking you’re going to move in the next 2, 3, 4 years out of the area. Other than that—you start getting five-plus years in a particular area—that’s when it really makes sense to buy, especially if you’ve got the family and all that.”
Tom Toole also highlighted that many would-be buyers, particularly move-up buyers, feel stuck because they have lower mortgage rates on their current homes.
But as he pointed out, life circumstances often outweigh rate concerns:
“We know it’s 17% of people in the country have a 6% (mortgage rate) or higher. Everyone else is lower than that. And the house doesn’t get bigger. The kids get bigger, they take up more space. And I think that’s the biggest challenge we’re seeing locally.
“At the same time, there’s still opportunities in the market if you keep your eyes peeled. And that’s why it’s important having someone that can help you with that. And for the knowledge brokers listening, replay what Danielle said there a couple times because that’s coming from the chief economist at Realtor.com. That’s not coming from you trying to sell a house. You can even cite that as a case study: ‘Hey, I’m not sure if you’re aware of this, but the chief economist at Realtor.com had the same advice for her neighbor…”
Key Takeaways for Buyers
- Market conditions vary by region – National headlines may not reflect what’s happening locally. D.C. remains supply-constrained, which supports long-term price growth.
- Timing the market is risky – While rates and prices fluctuate, waiting too long could mean paying more later.
- Personal factors matter most – If you plan to stay in the area for 5+ years and need more space, buying now could be the smarter move.
For agents and buyers alike, Hale’s approach is a valuable reminder: real estate decisions should be based on individual circumstances, not just market speculation.
And if the chief economist at Realtor.com is advising her own neighbor to buy, it’s worth sharing that information in conversations with the people in your community, particularly if you live in an area with similar market conditions.
What have you noticed in your own market? And how can you leverage Hale’s understanding of the market to educate consumers in your area?
