This is our final article before the election so we thought it might be good to report out pre-election real estate market statistics for SW Florida.
Pre-election real estate market statistics show two interesting factors at play. Our market is experiencing extremely high closed sales. If you look at the chart, 2020 was surpassing the previous four years until Covid-19 hit. We took a brief pause in April and May as lockdowns were in effect in Florida and nationwide. Nobody knew for sure what the future held. Savvy Realtors sprang into action and began selling homes virtually. Our team has sold over 100 homes this year in the middle of a pandemic.
In 2019, housing inventory levels were already low. There was a spike in inventory during the 2019 season, but we quickly sold off all that inventory and then some. Heading into January 2020 we saw the lowest inventory levels of all previous four years. Then Covid-19 hit. Inventory has been going down steadily.
New listings were up 26.1% in September, but it did not make a dent as we sold every bit of it and more. Lee County had 1,550 homes go on the market in September and 1,832 went pending. When we repeat this cycle month after month you do not have to be a mathematician to realize inventory levels are falling. More pending sales than homes coming on the market leads to lower inventory.
Lower inventory and high demand lead to rising prices. The median sale price increased 16.9% in September over last year. The average sale price rose 19.8%. This is an extreme seller’s market right now, pre-election.
The question everyone is wondering about is how long will this last? The stock market is jittery largely due to uncertainty with who will win the election, who will control the house and senate, and what Covid is going to do. Will we have further lockdowns? Will the government vote for stimulus to help mitigate loss of income due to shutdowns?
Right now, stimulus is not being provided for political reasons. That all ends after next week, and it does not matter who wins. People speculate this could be a contested election and that may delay stimulus. My belief is that will all be decided in the courts if it is contested at all. Either way, there is no disincentive for congress to provide stimulus after the election as votes are not riding on it.
Nobody knows what Covid will do, when a vaccine will arrive, and which states may further shutdown. What we do know is Florida looks attractive to lots of people right now. We are advertising to northern states with great success. Buyers are flocking to Florida for its low taxes and ability to stay open in middle of Covid. Pre-election real estate market indicators are good.
There are people on both sides of that argument. We are not here to argue the merits of either. Our team is here to sell real estate. Our sellers expect it, and buyers want our help. As always, we market to where the buyers are. Buyers are here locally, and out of state, and we market to both.
Some sellers are nervous and wonder if now the time might be to sell. Others want to wait for even higher prices in the future. None of us know what the future holds. The best decision probably depends on your family’s circumstances.
We have a team of buyer specialists ready to help you find homes and negotiate a win for you. The Ellis Team also has listing specialists ready to get you Top Dollar for your home now. The old saying says strike while the iron is hot. The iron is hot right now, and if you’re thinking of selling, you should talk to Sande or Brett Ellis 239-489-4042 Ext 4 Or visit www.SWFLHomevalues.com to get an instant price on your home. We can validate that price in person later if you are interested in selling.
Just remember, Always Call the Ellis Team at Keller Williams Realty for all your real estate questions!
See last week’s article “Ellis Team Marketing Sells Listings For Top Dollar and Fast”