Summer is fast approaching – days get longer, temperatures rise and the real estate market SIZZLES. Summer is historically the busiest time of the year for home sales in Central Florida and this year has the potentially to be especially active with our area’s stable economy and low unemployment rate.
Industry analysts are taking note of trends that can impact buyers, sellers and industry professionals. Some of these are:
1. Millennials coming into their own-Baby-Boomers and Millennials are the two largest segments of our population and now they are competing with one another in the real estate market. Millennials are moving up (and out) and trading apartments and living at home for single-family starter homes. This trend has put them in direct competition with baby boomers, many of whom are looking to downsize to something smaller meets the needs of their new empty-nest lifestyle.
This translates to a strong market for well-maintained single-family homes – these are expected to fly off the market.
2. Inventory is TIGHT, and Buyers have to act quickly – The market is full of buyers – will there be enough sellers? Inventory continues to be low – total housing inventory was down 14.7 percent in March 2018 compared to the same time the year before.
Nationally all 54 metropolitan areas surveyed in the National Housing report published by ReMax reported being in a seller’s market. Bottom line – homebuyers and agents should be prepared for a market where they will have to be aggressive to purchase the home they want.
3. Policies and Tax Reform can impact your transaction– Tax reform, congressional policy changes, state and local elections in the last year have implications on housing policy. Adjustments to tax rates, the growth or decline of suburban options and zoning ordinance changes all impact the Central Florida market.
Potential homebuyers need to be educated and it is important to consult with a licensed real estate agent, tax professional or attorney who understands the latest housing policies and how those policies will affect a potential home sale.
4. Real Estate is Tech driven– Technology is king in almost every industry – real estate is no exception. Buyers, sellers, agents and even Title companies can go online or use apps to access information about a house, a market and their entire transaction like never before.
Buyers and sellers can tour homes, secure financing and close an entire transaction in less time and from any distance. These options were unheard of only a few years ago. Embracing this technology in these market conditions has the potential to reward those make the most of digital options.
If you have questions about how to navigate and capitalize on these latest trends or on anything related to your potential transaction it is important to seek professional advice. Call the Kendrick Law Group today for a complimentary consultation with one of our real estate attorneys’ 407-641-5847.