Median home prices fell in 2nd half of 2022, and if prices do not change course, we are one to three months away from showing price declines year over year. The media and the public in general tend to focus on the headline number which is year over year sales.
In a few months people will begin reading how home prices are down and they will think the market suddenly turned. The truth is the market turned February 15th of 2022. How do we know this? Some will argue home prices increased until April or May, but many of those sales were the results of pending sales in February. We know this because February 15th is the day inventory started rising. Not long after, pending sales began dropping.
Not all Bad News For Sellers
The news isn’t all bad for home sellers though as prices rose dramatically since 2019. You might be surprised to know that the median home price back in November 2019 was $262,500. November 2022 median price in Lee County was $400,000. While this number is down from $470,000 back in April, it is still up 52.38% in three short years.
Buyers love to time buying at the bottom of the market, and sellers love to sell at the absolute top of the market. A small percentage of buyers and sellers can time the market perfectly. Interest rates have impacted homebuyers’ ability to afford as much home as they once did, and this has contributed to a cap on prices.
Sellers need to know what is happening in the market. There is a reason some sellers overprice their homes. They mistakenly believe the market is something it isn’t. This real estate market is great, but it isn’t escalating 2% per month like it was. In fact, median home prices are down 14.89% since April.
Facts Speak Louder Than Words
Our job as Realtors isn’t to trick buyers and sellers into believing the market is hotter or colder. The market is what the market is, and we simply help interpret it for our clients. We would do a disservice to our clients if we tried to sell the market. Rather, we educate our clients on market conditions so they can make the best decision for their family.
We are upbeat about the market. Just because the market is off it’s all-time highs doesn’t mean it’s not a great market. The market rarely stands in one place. It is always on the move, and sharp agents can help you spot opportunities as they happen.
Future market conditions will bring future market changes. Whatever those conditions are, we help our clients spot those changes and react faster. I remember several times when we saw conditions changing for our clients and alerted them before the market realized the changes. We saved our clients thousands by acting sooner.
New and Better Way to Sell Homes
Next week we will be announcing a new and better way to sell homes coming to SW Florida. This new program nets sellers more money than traditional sales, and it works in any kind of market. We expect there to be several expired listings January 1st and many of those sellers will be looking for a new and better way to sell their home. Pricing is just one factor in selling a home for Top Dollar. The other is choosing how the home is marketed.
If you are thinking about selling your SW Florida home, or have tried in the past and not happy with the results, you can call Sande Ellis or Brett Ellis at 239-310-6500 or email Brett@topagent.com with the subject line New Way and we’ll put you on a path to selling your home fast and for Top Dollar. Keep in mind, our price may be more than the online value models like www.SWFLhomevalues.com and others.
Stay tuned next week for the announcement.
Happy New Year, and Happy Selling!