The Florida Realtor Association recently published the 2017 Yearly Market Summary for Single Family Homes (download summary). These stats are very helpful and I want to break them down for you.
The Market Summary allows us to evaluate where we've been and what to expect for the future. Below you'll find my summary of the 2016 numbers compared to the 2017. You will discover some encouraging news for Martin County Real Estate!
Closed Sales
In 2017, an additional 2.7% of homes were sold in Martin County compared to 2016. Showing us that the demand is continuing to increase.
Median Sales Prices
We saw an 8.7% increase in the median sales price for 2017. When looking at this trend over the past 6 years, notice a continual and steady rise. As a side note, when looking at the median versus average sales price, keep in mind that the median is the middle sales price when you arrange the price from low to high. The average takes a total sum of the sales and divides by the number of homes. Both are valuable when interpreting the market.
Dollar Volume
There was an increase of 12.3% which makes sense considering we saw an increase in both sales price and total number of sales.
Months Supply of Inventory
This is one of our most important statistics when considering the type of market we are in. In 2017, we had a 4.5 months worth of inventory. Meaning that if no other homes came on the market, it would take 4.5 months for all the homes to sell. A balanced market is 6 months worth of inventory. Anything less than 6 is considered a sellers market...anything more is a buyers market. What's interesting is that we shifted into a stronger sellers market by 10% last year.
Interest Rates
Another important statistic to consider when buying or selling is interest rates. The Fed just raised rates and most experts are anticipating that rates will continue to rise. Why is this important? For sellers, it means that there will be less buyers at your price point. For buyers, it means you can buy that much less of a home.
What can we take away from these statistics?
We are definitely in a sellers market. If you are considering selling, now would be a great time to meet with me to determine the value of your home. You should take note, that the number of days before a home goes under contract increased by 6.4%. This shows us that even though the market is gaining strength people will not overpay for a home. Sellers need to price their home realistically for it to sell. The longer a home sits on the market, the less money you will receive for the home.
If you have questions about buying, selling or investing or would like a free CMA (Comparative Market Analysis) on your home, please contact me at 772-634-1248 or fill out the form on our Contact Us page.
Dave Olsen
REALTOR® | Keller Williams Realty