Home Sales are picking up again
After a nine-month slowdown, home sales are picking up again, according to NEFAR data released last week. The May 2018 Housing Stats for northeast Florida saw a 6.1 percent drop in the number of homes sold compared to May 2017, but the 2,748 homes sold this past month was the largest number of sales since August. Pending sales were up 10.8 percent compared to a year ago.
About every other indicator shows that the housing market is continuing its hot streak. Try and find a house in a great location that does not have multiple offers or a cash buyer. Its a great market for anyone in real estate.
On average, homes in northeast Florida are spending 60 days on the market until they’re sold, a number that drops to 53 days in Duval County. In May 0f 2017, homes in northeast Florida were selling in an average of 73 days. Long-term data shows that homes are selling faster than they have since 2006.
May 2018 Housing Stats
Just like last year at this time, prospective home buyers should expect a competitive housing market for the next several months. With payrolls trending upward and unemployment trending downward month after month in an extensive string of positive economic news, demand remains quite strong.
The supply of inventory, a measure of how many months it would take for the current number of homes on the market to sell, was at 3.4 months. This despite 3,797 new listings in May, homes are selling almost as fast as they reach the local markets. A balanced housing market has between five and six months of supply. The sellers’ market is being felt more acutely in Duval County, which had 2.8 months of supply in May.
May’s median sales price of $225,000, a more than $100,000 increase since 2012, increased 5.8 percent increase since last year. Likewise, the housing affordability index dropped by 11.7 percent since last year. Look at this data as compared to last month here.
Rising Rates a Problem?
Apparently not. And with the Federal Reserve on track to raise rates another 2 more times this year, it is not slowing down people looking for a home. Inventory levels decreased 9.1 percent to 8,398 units. Although home sales may actually drop in year-over-year comparisons over the next
few months, that has more to do with low inventory than a lack of buyer interest.
As lower days on market and higher prices persist year after year, one might rationally expect a change in the outlook for residential real estate, yet the current situation has proven to be remarkably sustainable likely due to stronger fundamentals in home loan approvals than were in place a decade ago.
A great local employment track record. New technology jobs in Jacksonville for the Financial and Mortgage Industries. Jacksonville appears poised to lead the state in growth and in new jobs. Now is a great time to be in Jacksonville.
Looking to Buy or Sell Real Estate?
As I close in on $100 million sold in real estate during my career, I can tell you not all Realtors are alike. Look at my listing here, I have worked my tail off to get to list properties like this one. You need to have great people behind you and a great team in the office. You need technology, a great website and you need to be responsive. I have been in real estate as a Realtor since 2005 and I can say that I want to be YOUR representative in the largest transaction you may have in your lifetime. Call me today to discuss how I can change your life, (904) 210-6399. Please let me know you saw my May 2018 Housing Stats blog post.