With 7,135 active listings on the market and just over 3 months of housing supply, there are still not enough homes on the market and pricing remains strong. With pent up demand at an all time high, new construction increasing in market share and home prices strong, it begs the question, what would trigger you to make a move? If rates come down as fast as they went up, can you imagine what would happen and do you want to be in the midst of that?
What would have to happen in your world and what would the rate need to be in order to make sense for you to buy or sell? Something to think about as the pendulum swing could happen rather quickly and you want to be prepared.
PENT UP DEMAND
Many buyers and sellers are sitting on the sidelines due to market conditions. If rates come down to 5-6% we could see a feeding frenzy that would rival 2021. Home prices remain strong as demand is less than supply.
The market share for new construction homes sold is rising. 25% of homes sold in the Jacksonville Metro in September were new construction. With incentives, rate buy downs and upgrades, the builders are coming in with competitive opportunities for buyers, taking market share from pre-owned homes.
RESIDENTIAL DATA – NORTHEAST FLORIDA (Real MLS, October 2023)
- Inventory: Currently we have 3 months of supply, as compared to a healthy market of 6 months
- Days on market are increasing. The median is now 35 days.
- The number of active listings have decreased by 2% year over year. September showed 7,858 listings.
- Sold listings is down by 22% as the market slows
- Luxury homes ($1M+) make up 4.5% of the total of sold homes. The 91 transactions in October was 8% less than in 2022.
|OCTOBER 2023||ST. AUGUSTINE||PONTE VEDRA BEACH|
|Median List Price||$498,950(+5%)||$6,625,000 (+51%)|
|Median Sale Price||$430,000 (-1%)||$2,255,000 (-27%)|
|Average CDOM||62 (+17%)||402 (+436%)|
|# Active Listings||1,414(+20%)||12 (+20%)|
|# Homes Sold||319 (-7.3%)||1 (-83%)|
Source: RealMLS (Northeast Florida Association of Realtors) Residential data for October 2023. Percentages as compared to the same time in 2022.