While riding the train in Ireland last year the recording would state at each stop, “neither here nor there, mind the gap”. It was a profound announcement, and held more meaning the more you heard it. Here is our Mind the Gap Alert.
Neither here nor there appropriately applies to train cars. Are you coming or going? And if you’re in the gap between cars, where are you really? And if you’re neither here nor there, perhaps you should pay attention, as a safety precaution.
Mind the Gap Alert
The gap is the no-man’s land between train cars, and other items in our life. For salespeople, the difference between their goals and their sales are considered the gap. The difference between what you set out to do today, and what you accomplish is a gap. Perhaps you got sidetracked with life. An unexpected event draws your attention away from your task. Most people get drawn away easily because they do not want to focus on the gap. Rather, it’s easier, and sometimes more enjoyable, to work on an emergency than the task you’ve been dreading.
Real estate agents that prioritize their most important tasks get more done and have more sales because they do the important things first. Successful people do not let emergencies dictate their calendar. Most emergencies are not really emergencies, but we like to give them importance as to justify doing something that “Needs our attention” versus the thing that will create the results we want.
How does the mind the gap alert pertain to the local real estate market? The gap we are looking at is the distance between listing inventory and pending sales. If that number is growing, it means inventory is rising. When inventory is rising, it means there were more sellers than buyers the past week.
When it All Changed
From January through August of 2024 the gap was stable. If anything, it was getting better. Then August came and the market seemed paralyzed. Listing inventory started growing and pending sales dipped.
What changed in August? Some agents felt like it was the NAR settlement and the news of how buyers had to hire an agent to show them property. Others felt like it was the cumulative effects of interest rates and job market uncertainty. Still others blamed the uncertainty of the election outcome.
Nobody knows the real reason, but there is no denying we must pay attention to the mind the gap alert. Consumers clearly were not confident about prospects in the 3rd and 4th quarter of last year, and it showed in the stats.
2025 is a new year. Will consumer confidence pick up? Where will interest rates go this year? Consumers must feel better about their future before they buy big ticket items. It feels like we are starting to see that, but it is just a feeling buyers are giving off. We do not see it with the data, and we didn’t expect to. It’s too early.
The next few months are the foundation to the rest of the year, and it starts with leadership in Washington. Can Congress work together to get things done? Will the president’s vision turn into reality. Has America bought in? Has the world bought in? Time will tell.
Thinking of Selling or Buying?
We do not control any of that stuff. What we do control is minding the gap. Whether that be in our daily lives or studying the real estate market and taking appropriate action to get results, it is up to us.
If you have property to sell, there are things you can do. Check out your home’s value at www.SWFLhomevalues.com and track it’s value every month. Or, search the MLS and find your next home, or search your competition at www.LeeCountyOnline.com
Always Call the Ellis Team at Keller Williams Realty 239-489-4042. We are the hardest working team in real estate, and we’ll help you mind the gap with our experience and data research.
Good luck, and Happy House Hunting!