Official Lee County home sold prices are out and May was a rough month for prices. Remember a few weeks ago our internal data suggested home prices would be down 8.46% in May. Official figures show home prices down 9.6% from May previously.
Condo prices were down 8.8% as well from the previous year. As you can tell from the chart, home prices have been falling monthly. May single family home prices were at $375,000, down from $390,000 in April. There is some seasonality to the numbers, but there are no denying home prices have been on the decline.
Interest Rates
Since the brief Iran conflict, interest rates have been heading down. The 10-year note is down to 4.258% as I write this article more than a week in advance. A lot can happen in a week, but if this trend continues, it may help alleviate some downward pressure.
Oil is also down since the conflict. If this trend continues, it paves the way for Fed to begin lowering interest rates this year. The Fed meets again in late July. Many expect they won’t reduce until September, but evidence is beginning to support a reduction that could come at any time.
One Known Wildcard
The US is up against a debt limit, and tax policy is uncertain going forward. If Congress passes a bill that solves both and keeps taxes lower, the economy is set to take off again. If congress fails, taxes will skyrocket and the economy will stall, so much is at stake. If the economy does well, it eventually trickles down to the real estate market.
Unknown Wildcards
There are many, but they seemed to have calmed down after the Iran conflict. The world needs US leadership, and that’s what they got. That leadership appears to have sent a message to Iran, Russia, China, and North Korea. China could take over Taiwan at any time, but the way Iran was handled may quell that for the time being.
When the world is this quiet and this good, it makes me question if somebody is up to something. While US leadership sent a message that was received across the globe, I never trust silence for too long. We’ll take it for now.
Selling in This Market
If you have property to sell, you should talk to Sande Ellis or Brett Ellis 239-310-6500. The Ellis Team had another record month in June. Our marketing and experience pays off in a market like this. Other agents are having difficulty getting showings while the Ellis Team is selling homes. Sit down with Brett Ellis or Sande Ellis and find out what makes the difference. We can show you some things we do that other agents do not do, like advanced marketing and advanced AI. Be sure to read last week’s article about AI in real estate. While every agent uses AI for simple tasks, few are using it to do the powerful things AI was meant to do. Official Lee County home sold prices may be down, but not all home prices are dropping.
Check Your Property Value
We have a Free online value estimate tool. Check out www.SWFLhomevalues.com It’s fun to see the new values come out each month and see how it changed. Our system will do that for you. And remember, computers are great, but we’re only a phone call away from a conversation about your situation. You can call us and we can brainstorm your best options.
Enjoy the 4th of July weekend and remember the freedoms we enjoy here in the US did not come free. We earned it, so let’s enjoy it.
Good luck, and Happy Selling!