Encouraging news as total single family pending home sales rise in Lee County for the 7th straight week. Season is a time when we would expect total single family pending home sales to rise, but there are other busy times throughout the year as well.
This week (Feb 18th) Lee County had 1,832 total single family pending home sales. Last year at this time (Feb 20) Lee County had 2,011. The week prior (Feb 13) there were 1,856. What this tells us is that total single family pending home sales changes rapidly in February. We would not be surprised if total pending home sales increase to over 2,000 next week just as they did last year.
Total Single Family Pending
Total pending home sales tend to max out in March or April of each year. As we know, pending home sales lead to closed home sales, and those tend to peak in April or May of each year. So, we will be watching pending sales as is a predictor of future closed sales.
Many agents were sweating it as they watched inventory grow in SW Florida and the total single family pending home sales remained flat. We are still behind last year’s numbers but catching up fast. This is exactly what our market needs, because there is one big difference this year versus last year.
Three Times Number of Listings
This year we have almost three times the number of listings as last year. If total single family pending home sales are lagging or about equal to last year, it won’t make a dent into inventory numbers. This week there are 9,161 single family homes on the market. Last year there were 3,264.
Total single family pending home sales peaked March 26th of last year and fell precipitously for the rest of the year. The 4th quarter of last year felt especially brutal as pending sales dropped and inventory climbed.
2025 is a new year. We’re starting out behind 2024, and we know the 1st half of 2024 was the strongest part of the year. So, one of two things are going to happen this year. If we continue the trend, 2025 will be a worse year than 2024 and things won’t look so good. One thing we know about real estate markets is they never stay the same for long. Real estate markets are not linear, because so many factors influence the market.
2025 could be the same as 2024. It could be worse. However, it could be better if we see new trends begin to develop. Rising total single family pending home sales was a trend we needed to see, and we are. Now we need to see it last through March or April. Mortgage rates have fallen just a bit, and oil prices are down.
Times Are Changing
It feels like the good economic news is brewing but will take time to arrive. Policy changes today may lead the markets higher, but later. If this is the case, 2025 real estate market may be a ho hum year leading into a better 2026.
If I were a buyer, I would seriously be looking at purchasing in 2025. Sure, rates are higher, but the deals are good, and the selection of homes is excellent. Buyers have negotiating power they won’t have when the market turns. Buyers can always refinance later if rates come down, but you may not be able to lock in these deals forever.
Sellers
Markets don’t always turn on a dime. If the market turns, it may take years to become a seller’s market again. Or it could remain a balanced market. Today we would define the market as a buyer’s market. If you need to sell, chances are you’re going to be purchasing something else in the same market you’re selling in.
Always call the Ellis Team at Keller Williams Realty 239-489-4042. We can sell your home and help you buy another. Or visit www.SWFLhomevalues.com to find out what your home might be worth. It’s Free and Fast.
Good luck, and Happy Selling!