Tag Archives: Covid-19

Rising Home Sale Price Trend Continues Despite Pandemic

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2020 has been a good year in real estate for buyers and sellers alike.  Both have benefited for different reasons.  The rising home sale price trend continues despite pandemic concerns.

Year to date median home prices are up 5.6% and averages home sale prices are up 9.8%.  Most experts did not know how the shutdown was going to affect real estate sales or prices for that matter.  Busy Realtors on the front line saw a developing trend and we reported it to you as it became apparent.

Rising Home Sale Price Trend Continues

Rising Home Sale Price Trend Continues Despite Pandemic

Quite frankly, we were not surprised and in fact predicted this, because we have seen similar events in the past shape consumer behavior.  If you read our weekly article, we have talked about 9-11 and how that changed people’s travel and home buying preferences.  Covid-19 may be a similar such event with similar results.

Interest rates are low which is helping home buyers.  We are seeing more financed deals than cash deals.  For instance, closed deals were down 14.1% in April.  Cash deals were down 39.3% For people that have jobs, they are financing.  Another boom down the road will be homeowners who refinanced.  Those homeowners will have more disposable income in their pocket after this is all over which may help the economy going forward.

The economic stimulus is not all out and in the hands of the people yet.  Some are predicting a v-shaped recovery, while others predict a u-shaped.  A few predict a w-shaped, and this is what we don’t want.  We believe the 3rd quarter will be robust compared to 2nd quarter, and the growth rate will set all-time records.  It will not bring us back to pre-covid 19 levels, so people should not read the headlines and think the economy is all the way back.  It may take years before it’s all the way back, and yet recovery will be welcomed.

Housing inventory is down 22.9% from last April, and we have noticed an uptick in sales activity in May.  These numbers will not be reported yet for another month, so you’re getting inside information early.  It pays to know a busy Realtor on the front lines.

Some speculate that with near 20% unemployment, home sales and prices must go down.  This would be true if we had excess supply.  We simply do not right now.  With record low interest rates, and people going back to work, we may not have the opportunity to slide much, if at all.

All real estate is local.  Not only are we seeing buyers coming in from out of state to escape regulations and living conditions where they are, we are also seeing it in-state buyers.  While inventory is shrinking here, it’s also shrinking other places in Florida.  We are seeing more people coming over from Miami area and purchasing here, which is putting further pressure on inventory.  We saw this back in the boom.  The only difference today is we do not have an over-supply of homes like we did back then.

Our Office is Moving

Keller Williams and the Ellis Team office is moving south on Summerlin.  Our new address is 12840 University Dr in South Fort Myers.  It is located directly across from FSW college.  This is kind of like old times for the Ellis Team as were in a nearby office on University Dr for years with another company before moving to Summerlin Lakes Dr, and eventually over to Keller Williams.  We look forward to seeing past and future customers at our new location.

Our team and company are growing.  We might be the only real estate company expanding right now, and that’s because our lead generation and technology are second to none.  If you have a home to sell, please call Sande or Brett Ellis at 239-489-4042 Ext 4 or visit  www.SWFLhomevalues.com for a free analysis of your home.  You can tell us how accurate you believe it is.

If you’re looking to purchase, visit www.LeeCountyOnline.com The information is updated in real-time, so you’ll never miss out on new listings or price changes.

We are moving this weekend to better serve you.  Make your move with the Ellis Team at Keller Williams Realty.  Knowledge and experience matter in changing times.  Put our experience to work for you.

See last week’s article “Buyer Beware Listing Inventory Disappearing Quickly“

If You Could Work From Anywhere Where Would You Want to Be

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Let’s face it, the Coronavirus has changed the way people think about work and home.  More employers are staggering their workforce or allowing employees to work from home.  The Coronavirus may alter the commercial workspace landscape.  So, it begs the question, if you could work from anywhere, where would you want to be?

If You Could Work From Anywhere Where Would You Want to Be

Employers are rethinking their work spaces.  In New York City for instance where the population is very dense, along with work spaces, they are considering options.  One option is to rent space out on Long Island and stagger the workforce where some go to the Long Island space a few days per week and and rotate to the city the other days.  Office space might be less expensive on Long Island, thus requiring less space in the city.

This strategy also allows you to space out your workforce, so they are not congregated in tight work spaces. Some employers are questioning if they must come in at all and can work from home.  In any event, employees are asking themselves questions.  Do I really want to commute into city and work in a tight workspace given health concerns today?  Coronavirus may disrupt people’s attitudes toward city living in general.  If you think taxes are high in the city now, just wait until people start moving out.

Across the US people are questioning living in the big cities.  Customers are flocking out to the suburbs, or out of state altogether.  States like Florida stand to gain because we have excellent weather, wide open spaces, great healthcare, no state income taxes, and we haven’t mentioned the weather yet.

I’m pretty sure the Internet works as well in Florida as anywhere in the country.  Remember the question above. If you could work from anywhere where would you want to be?  One answer seems to be Florida.  Another may be suburbs and rural areas outside the densely populated cities.

SW Florida is well served by a regional airport, university system, and land that is spread out.  Adding in fantastic weather and low taxes makes Florida a winner in a lot of people’s eyes.  Florida was already winning due to tax issues before Covid-19, and very well may afterwards as we look to the future.

Florida’s economy will open up as soon as travel picks back up due to all its fantastic advantages.  If you’re reading this article and live up North you might want to check out www.LeeCountyOnline.com  It has all the home listings and it’s updated in real-time, so the data is good.  It’s no fun to search and see old listings that aren’t really on the market anymore or miss out on hot new ones.

If you’re considering selling, definitely talk to Brett or Sande Ellis 239-489-4042 Ext 4 You can also visit www.SWFLhomevalues.com and get an instant value on your property. Buying and selling today is different than it was 2 months ago.  You need a team that can handle all the details and show homes virtually.  Our team sold 10 homes in April virtually so it can be done if you have got the right systems and marketing to do it.

If you’ve got questions, we are quick phone call or Zoom call away.  Getting answers fast means more today than ever.  Whether you’re making a move today or many months down the road, we’re here to answer your questions.  We can even set you up with some handy resources about our area you might enjoy.

If you could work from anywhere, would SW Florida be a place you could see yourself living in?

Good luck and Happy House Hunting!

See last week’s article “Pending Sales Outpace New Listings”