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Former 'Million Dollar Listing Miami' star reveals real estate 'game changer' as 2023 approaches

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Real estate has proven to be a “difficult” market to navigate, but an industry expert says the downward trend in mortgage rates at the end of 2022 will be a game-changer heading into 2023.

“One thing that I will say is really game-changing in real estate is mortgage rates,” Sam DeBianchi of DeBianchi Real Estate, who starred in Million Dollar Listing Miami’s single season, says the “Mornings with MariaTuesday.

The higher these rates, the more people want a house. So they want the new house. They want the house with all the bells and whistles. They don’t want servicers, and they want everything rolled into this mortgage.


The US Census Bureau reported a 5.8% increase in new november home salesand DeBianchi says that may only rise in 2023 as current mortgage rates incentivize buyers to search for new homes rather than rent or buy repairers.

“Rates have really transformed the landscape of buying because now buyers don’t want the repairman anymore, they don’t want to come out of pocket. They say, ‘well, if I have to pay 6%, then I want it all. for that. And that’s really the goal.”

Sam DeBianchi Real Estate Mortgage Rates

Sam DeBianchi of DeBicanchi Real Estate says mortgage rates are the “game changer” in the “tough” housing market heading into 2023. (FOX Company)

The October S&P Case-Shiller report released Tuesday morning showed home prices fell across the country for the fourth consecutive month, leading to higher home sales.

“As the Federal Reserve continues to push interest rates higher, mortgage financing continues to be a headwind for home prices,” S&P DJI chief executive Craig J. Lazzara said in the report. Given the continued outlook for a challenging macro environment, prices may well continue to weaken.

DeBianchi echoed that analysis, arguing that while home prices may see a decline, mortgage rates are always a bigger factor for buyers.

“It’s predicted that next year the median price will be 385,800 for an existing home, not a new home, but an existing home. And obviously as rates go up, that really puts a lot of people away.”


Despite the recent decline in rates over the past six weeks, year-over-year mortgage rates have seen a dramatic increase over the past year. Last week, the 30-year fixed rate averaged 6.27%, up from 6.31% the previous week, but more than double the FRM 30-year rate of 2021 at 3.05%.

The 15-year fixed rate mortgage averaged 5.69% from two weeks ago, when it averaged 5.54%. A year ago, the 15-year FRM averaged 2.30%.

DeBianchi explained that many buyers choose to buy a home to reap the benefits and look to refinance in the future, but low inventory remains an issue.

“It’s supply and demand; stocks are so tight. So there’s not much to really bring those prices down yet.”

Yet, insisted the real estate expert, people gravitate towards home ownership.

What I see are [sic] that buyers say, ‘you know what? There’s not a lot of inventory there. Rents are still very high. So I’m going to go ahead and buy this house now.'”

sign for sale in front of the building

A For Sale sign is displayed in front of a home in Washington, DC on March 14, 2022. (STEFANI REYNOLDS/AFP via Getty Images/Getty Images)

Debianchi called many homeowners “over-indebted,” which she explained will eventually bring more properties and homes to market and significantly increase inventory for buyers.

“So there is money to be made. Don’t be greedy. But I think there are quite a few people who are over-indebted and we will see them properties come on the market. Is it going to be a crash? No, but at least we’ll have a lot more homes and buying opportunities.”

While the end of 2022 saw a significant increase in new home purchases, there was a 7.7% drop in November for existing home sales.

DeBianchi attributes the trend in new home purchases to buyers wanting more bang for their buck given the inflated price and significantly higher mortgage rates compared to the same time last year.

“It’s a tricky market. I think with the rate going down it’s going to be a game changer.”

FOX Business’ Jay Spoehel and Megan Henney contributed to this report.

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